Section 4 of Income tax Act for AY 2023-24

Amended and updated notes on section 4 of Income Tax Act 1961. Detail discussion on provisions and rules related to charge of income-tax.

Amended and updated notes on section 4 of Income Tax Act 1961 as amended by the Finance Act 2022 and Income-tax Rules, 1962. Detail discussion on provisions and rules related to charge of income-tax.

Chapter II (Sections 4 to 9A) of the Income Tax Act 1961 deals with the provisions related to basis of charge. Section 4 of IT Act 1961 provides for charge of Income tax.

Recently, we have discussed in detail section 3 (Previous Year) of IT Act 1961. Today, we learn the provisions of section 4 of Income-tax Act 1961.

The amended provision of section 4 is effective from 1-April-1989. In this article, you will learn detail of the provisions of section 4 of the Income Tax Act 1961-2023 read with the Income-tax Rules, 1962.

Section-4: Charge of Income-tax

Section 4(1) of Income Tax Act

Where any Central Act enacts that income-tax shall be charged for any assessment year at any rate or rates, income-tax at that rate or those rates shall be charged for that year in accordance with, and subject to the provisions (including provisions for the levy of additional income-tax) of, this Act in respect of the total income of the previous year of every person :

Provided that where by virtue of any provision of this Act income-tax is to be charged in respect of the income of a period other than the previous year, income-tax shall be charged accordingly.

Section 4(2) of Income Tax Act

In respect of income chargeable under sub-section (1), income-tax shall be deducted at the source or paid in advance, where it is so deductible or payable under any provision of this Act.


Open Demat Account

For Investing or Trading

(Best Investing and Trading Platform in India)

Learn More