The rebate that takes small taxpayers to nil tax is section 87A today. In the Income-tax Act, 2025 it is section 156.
Quick answer: the mapping
| Income-tax Act, 1961 | Subject | Income-tax Act, 2025 |
|---|---|---|
| 87 | Rebate to be allowed in computing income-tax | 155 |
| 87A | Rebate for certain individuals | 156 |
| 89 | Relief for arrears of salary (Form 10E) | 157 |
| 89A | Relief on foreign retirement benefit account | 158 |
| 90 / 90A | DTAA relief | 159 |
| 91 | Unilateral relief | 160 |
The Income-tax Act, 2025 received Presidential assent on 21 August 2025 and takes effect from 1 April 2026. The Income-tax Act, 1961 continues to govern every tax year up to 31 March 2026, and all assessments, appeals, penalties and prosecutions relating to those years are completed under the old Act by virtue of the repeal and savings provision in section 536. The mapping on this page is drawn from the section-wise concordance published with the Act, including the corrigenda notified in the Gazette on 3 September 2025.
What the 1961 provision did
Section 87A of the Income-tax Act, 1961 gave a rebate against tax payable to resident individuals whose total income was within a specified threshold, with different limits under the old and new regimes.
Where it sits in the Income-tax Act, 2025
Section 156 of the Income-tax Act, 2025 is headed “Rebate of income-tax in case of certain individuals”. Section 155 carries the general rebate provision of section 87, and the relief provisions follow in sections 157 to 160.
What actually changed
- Rebates and reliefs share a chapter. Chapter IX (sections 155 to 160) holds the rebate, arrears relief and both forms of double taxation relief.
- Sections 90 and 90A merge into section 159, so treaty relief with countries and with specified territories is one provision.
- Arrears relief is section 157 — the provision behind Form 10E.
What to do about it
- Tax computation software and client summaries should cite section 156 for tax year 2026-27 onwards.
- The rebate amount depends on the regime — read section 156 together with section 202.
- Form 10E relief workings should refer to section 157.
The sections around it in the new Act
Renumbering is easier to absorb in context. The table below lists the neighbouring provisions of the Income-tax Act, 2025 with the 1961 sections each of them carries forward, so you can see where this provision sits and what moved with it.
| New section (2025) | Provision | Corresponding 1961 section(s) |
|---|---|---|
| 155 | Rebate to be allowed in computing income-tax | 87 |
| 156 | Rebate of income-tax in case of certain individuals | 87A |
| 157 | Relief when salary, etc., is paid in arrears or in advance | 89 |
| 158 | Relief from taxation in income from retirement benefit account maintained in a notified country | 89A |
| 159 | Agreement with foreign countries or specified territories and adoption by Central Government of Agreement between Specified associations for double taxation relief | 90, 90A |
| 160 | Countries with which no agreement exists | 91 |
How to read a section mapping
- A corresponding section is not always an identical section. Where several 1961 sections map to one new section, conditions that used to sit apart are now read together.
- Where one 1961 section maps to several new sections, the old provision was split, and each new section carries only part of what you used to cite.
- Some new sections have no 1961 equivalent at all — the registered non-profit code in sections 332 to 355 is the largest example.
- Always cite by year. The Act that applies is decided by the tax year in question, not by the date you are writing on.
This page is a structural mapping guide, not tax advice. A corresponding section is not always an identical section — several provisions were merged, split or re-worded when they were carried over. Always read the actual text of the new section before relying on it, and check for later amendments, rules and CBDT notifications.