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Taxation Central Ministry of Finance Income Tax Act, 1961

Income-tax (Second Amendment) Rules, 2025

27-Jan-2025 | Notification No. 10/2025

CBDT (Income Tax) issues Income-tax (Second Amendment) Rules, 2025, amending the provisions of Income Tax Rules, 1962, effective from 27th January, 2025.

Highlights of the amendment are:

- The insertion of Rule 2DAA in the Income Tax Rules, 1962, pertaining to the venture capital fund referred to under the IFSCA (Fund Management) Regulations, 2022, shall be construed as a Category-I Alternative Investment Fund.

- The insertion of Rule 21ACA in the Income Tax Rules, 1962, pertaining to a finance company located in the International Financial Services Centre, allows it to perform certain activities, namely: lending in the form of loans, commitments, and guarantees; credit enhancement; securitization; financial leasing; factoring and forfaiting of receivables; or functions of a Global or Regional Corporate Treasury Centre, such as borrowings, lending, hedging of currency or commodity risk, investments, cash management, structured credit, intra-group financing, financial budgeting, and other similar treasury services and activities.

For more information, please refer to the specified document.

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