New Income Tax Act to Take Effect from April 2026; Paid Online Gaming Banned

The Union Government has notified that the Income Tax Act, 2025, will come into force from April 1, 2026, following President Droupadi Murmu’s assent.

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New Delhi : The Union Government on Friday formally announced that the newly enacted Income Tax Act, 2025, will come into effect from April 1, 2026. The Ministry of Law and Justice issued an official gazette notification declaring the commencement date of the new legislation, which had been passed in both Houses of Parliament last week.

President Droupadi Murmu gave her assent to the bill on Thursday, turning it into law, paving the way for a significant overhaul of India’s taxation framework.

Alongside the Income Tax Act, President Murmu also gave her approval to the Online Gaming Bill, which immediately became law. The legislation introduces a strict provision prohibiting online gaming that involves monetary transactions, effectively banning paid online gaming activities across the country.

The twin legislative developments reflect the government’s move toward modernizing tax laws while simultaneously addressing the growing concerns surrounding online gaming and its financial implications. With the enforcement of the Income Tax Act scheduled for April 2026, individuals and businesses will have a transition period to adapt to the new provisions, whereas the ban on paid online gaming has already come into effect.