Income Tax Act 2025: Section 96 for Tax Year 2025-26

Income from a transferred source, without asset transfer, is taxed as the transferor’s income, regardless of revocability or timing.

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Transfer of income without transfer of assets

[As per the Income Tax Act, 2025 (this Act) w.e.f. 1st April, 2026.]

All income arising to any person by virtue of transfer,––

(a)whether revocable or not, and whether effected before or after the commencement of this Act; and

(b)where there is no transfer of assets from which such income arises,

shall be chargeable to income-tax as the income of the transferor and shall be included in his total income.


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