Several important changes in India’s tax system will come into effect from April 1, 2026. The new Income-tax Act, 2025 will replace the Income-tax Act, 1961, which has been in place for more than 60 years. The government says the new law uses simpler language and aims to make the tax system easier to understand and follow. Tax experts say the new framework also changes timelines, tax procedures and rules affecting individuals, businesses and investors. One major change in the new law is the introduction of the concept of a ‘Tax Year’. This will replace the earlier system of ‘previous year’ and ‘assessment year’. Under the new system, income earned and taxes paid will fall under one single period called the Tax Year. Experts say this step will make the tax process simpler and easier for taxpayers. The government has not changed the existing income tax slab rates for individuals. The tax rates under both the old tax regime and the new concessional tax regime will remain the same. This means there will be no change in personal tax burden for most taxpayers. Individuals filing simple returns such as ITR-1 and ITR-2 will continue to have a July 31 deadline. However, taxpayers engaged in business or profession whose accounts do not require audit will now have time until August 31 instead of July 31.Companies and taxpayers whose accounts require audit will have an October 31 deadline, while special cases under certain provisions will have a November 30 deadline.