Taxation and Other Laws (Amendment) Act 2026 Gets Assent
Why in the news
The President approved two legislative changes: a tax amendment law and amendments to the payments law, both in August 2026.
Key facts
- Assent by: President Murmu.
- Tax law: Taxation and Other Laws (Amendment) Act, 2026, which replaces the Income-tax (Amendment) Ordinance, 2026.
- Tax relief for chosen FIIs and the Bank for International Settlements (BIS) covering income and gains from G-secs.
- Payment law: 2007 Payment and Settlement Systems Act, now amended.
| Law | Change |
|---|---|
| Taxation and Other Laws (Amendment) Act, 2026 | Replaces ordinance; tax relief for chosen FIIs and BIS |
| Payment and Settlement Systems Act, 2007 | Legal basis for levying charges on certain digital payment modes modified |
Significance
- Intended to attract foreign capital.
- Intended to support domestic electronics manufacturing.
Exam angle
- An ordinance gets replaced by an Act once Parliament passes it and the President assents.
- Payment law year: 2007.
- Exemption beneficiaries: specified FIIs and BIS.