{"id":33061,"date":"2026-09-05T01:55:45","date_gmt":"2026-09-04T20:25:45","guid":{"rendered":"https:\/\/carajput.com\/blog\/?p=33061"},"modified":"2026-09-05T02:04:48","modified_gmt":"2026-09-04T20:34:48","slug":"revision-rectification-provision-under-it-act-2025-vs-1961","status":"publish","type":"post","link":"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/","title":{"rendered":"Revision &#038; Rectification Provision under IT Act 2025 vs 1961"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Page Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a9b49fd65e82\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #000000;color:#000000\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #000000;color:#000000\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a9b49fd65e82\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Revision_Rectification_Provisions_under_the_Income-tax_Act_2025_vs_the_Income-tax_Act_1961\" title=\"Revision &amp; Rectification Provisions under the Income-tax Act, 2025 vs the Income-tax Act, 1961\">Revision &amp; Rectification Provisions under the Income-tax Act, 2025 vs the Income-tax Act, 1961<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Understanding_the_Key_Changes_in_Revision_and_Rectification_Framework\" title=\"Understanding the Key Changes in Revision and Rectification Framework\">Understanding the Key Changes in Revision and Rectification Framework<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Revision_of_Orders_Prejudicial_to_the_Interests_of_Revenue\" title=\" Revision of Orders Prejudicial to the Interests of Revenue\"> Revision of Orders Prejudicial to the Interests of Revenue<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#What_remains_unchanged\" title=\"What remains unchanged?\">What remains unchanged?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#What_has_changed\" title=\"What has changed?\">What has changed?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Comparative_Table_on_Revision_of_Orders_Prejudicial_to_Revenue\" title=\"Comparative Table on Revision of Orders Prejudicial to Revenue\">Comparative Table on Revision of Orders Prejudicial to Revenue<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Revision_of_Other_Orders\" title=\"Revision of Other Orders\">Revision of Other Orders<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Comparative_Table_on_Revision_of_Other_Orders\" title=\"Comparative Table on Revision of Other Orders\">Comparative Table on Revision of Other Orders<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Faceless_Revision_and_Giving_Effect_Framework\" title=\" Faceless Revision and Giving Effect Framework\"> Faceless Revision and Giving Effect Framework<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Comparative_Table_on_Faceless_Revision_Effect-Giving_Schemes\" title=\"Comparative Table on Faceless Revision &amp; Effect-Giving Schemes\">Comparative Table on Faceless Revision &amp; Effect-Giving Schemes<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Rectification_of_Mistakes_Apparent_from_Record\" title=\"Rectification of Mistakes Apparent from Record\">Rectification of Mistakes Apparent from Record<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Provisions_Retained\" title=\"Provisions Retained\">Provisions Retained<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Improvements_in_Drafting\" title=\"Improvements in Drafting\">Improvements in Drafting<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Comparative_Table_on_Rectification_of_Mistakes\" title=\"Comparative Table on Rectification of Mistakes\">Comparative Table on Rectification of Mistakes<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/carajput.com\/blog\/revision-rectification-provision-under-it-act-2025-vs-1961\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-33063\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2026\/09\/Designer-1.png\" alt=\"Revision &amp; Rectification Provisions\" width=\"1024\" height=\"1536\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2026\/09\/Designer-1.png 1024w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2026\/09\/Designer-1-200x300.png 200w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2026\/09\/Designer-1-683x1024.png 683w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2026\/09\/Designer-1-768x1152.png 768w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2026\/09\/Designer-1-800x1200.png 800w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/h2>\n<h2><span class=\"ez-toc-section\" id=\"Revision_Rectification_Provisions_under_the_Income-tax_Act_2025_vs_the_Income-tax_Act_1961\"><\/span><span style=\"color: #000080;\"><strong>Revision &amp; Rectification Provisions under the Income-tax Act, 2025 vs the Income-tax Act, 1961<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h2><span class=\"ez-toc-section\" id=\"Understanding_the_Key_Changes_in_Revision_and_Rectification_Framework\"><\/span><span style=\"color: #000080;\"><strong>Understanding the Key Changes in Revision and Rectification Framework<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The Income-tax Act, 2025 aims to simplify, consolidate, and modernize India&#8217;s direct tax legislation. While the revision and rectification framework has largely been retained from the Income-tax Act, 1961, several provisions have been reorganized, renumbered, and redrafted for improved clarity. The new law introduces the concept of a <strong>&#8220;Competent Authority,&#8221;<\/strong>\u00a0consolidates faceless schemes into a single provision, and provides additional procedural safeguards without materially altering taxpayers&#8217; rights or the powers of the tax authorities.<\/p>\n<p>This article provides a comparative analysis of the key revision and rectification provisions under the Income Tax Act, 1961 and the Income Tax Act, 2025.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Revision_of_Orders_Prejudicial_to_the_Interests_of_Revenue\"><\/span><span style=\"color: #000080;\"><strong> Revision of Orders Prejudicial to the Interests of Revenue<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Section 263 (1961 Act) vs Section 377 (2025 Act) :\u00a0Section 263 has historically empowered the Commissioner to revise an assessment order that is both erroneous and prejudicial to the interests of the revenue. The corresponding provision under the Income-tax Act, 2025 is Section 377.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_remains_unchanged\"><\/span><strong>What remains unchanged?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The essential conditions for invoking revision continue to remain the same:<\/p>\n<ul>\n<li>The order must be erroneous.<\/li>\n<li>Error must be prejudicial to the interests of revenue.<\/li>\n<li>Opportunity of hearing must be provided to the taxpayer.<\/li>\n<li>Revisionary authority can enhance, modify, cancel, or direct a fresh assessment.<\/li>\n<li>The limitation period continues to be two years from the end of the financial year in which the original order was passed.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"What_has_changed\"><\/span><span style=\"color: #000080;\"><strong>What has changed?<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The most visible change is the replacement of multiple authorities such as Principal Commissioner, Commissioner, Chief Commissioner, etc., with the defined expression &#8220;Competent Authority.&#8221; This drafting change makes the statute shorter and easier to navigate.<\/p>\n<p>Another notable amendment is the introduction of a new safeguard under Section 377(7), whereby if the remaining limitation period after excluding certain periods is less than 60 days, the limitation period automatically extends to 60 days.<\/p>\n<p><span style=\"color: #000080;\"><strong>Practical Impact :\u00a0<\/strong><\/span>Taxpayers should not expect any significant change in the scope of revision under Section 377. The provision largely reproduces Section 263, with improved drafting and procedural clarity.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Comparative_Table_on_Revision_of_Orders_Prejudicial_to_Revenue\"><\/span><span style=\"color: #000080;\"><strong>Comparative Table on Revision of Orders Prejudicial to Revenue<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<table>\n<tbody>\n<tr>\n<td><span style=\"color: #000080;\"><strong>Particulars<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Income-tax Act, 1961<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Income-tax Act, 2025<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Key Change<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td>Section<\/td>\n<td>Section 263<\/td>\n<td>Section 377<\/td>\n<td>Renumbered provision<\/td>\n<\/tr>\n<tr>\n<td>Authority<\/td>\n<td>Principal CCIT \/ CCIT \/ PCIT \/ CIT<\/td>\n<td>Defined as &#8220;Competent Authority&#8221;<\/td>\n<td>New defined term introduced<\/td>\n<\/tr>\n<tr>\n<td>Revision Power<\/td>\n<td>Erroneous and prejudicial to revenue orders can be revised<\/td>\n<td>Same<\/td>\n<td>No substantive change<\/td>\n<\/tr>\n<tr>\n<td>Time Limit<\/td>\n<td>2 years from end of FY<\/td>\n<td>2 years from end of FY<\/td>\n<td>Unchanged<\/td>\n<\/tr>\n<tr>\n<td>Revision of TP Orders<\/td>\n<td>Covered u\/s 92CA<\/td>\n<td>Covered u\/s 166<\/td>\n<td>Section reference changed<\/td>\n<\/tr>\n<tr>\n<td>Deemed Erroneous Orders<\/td>\n<td>Lack of inquiry, incorrect relief, violation of CBDT instructions<\/td>\n<td>Same<\/td>\n<td>Retained substantially<\/td>\n<\/tr>\n<tr>\n<td>Limitation Exclusions<\/td>\n<td>Available<\/td>\n<td>Available<\/td>\n<td>Retained<\/td>\n<\/tr>\n<tr>\n<td>Additional Provision<\/td>\n<td>Not available<\/td>\n<td>Minimum residual limitation extended to 60 days<\/td>\n<td>New provision in Sec. 377(7)<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong><span style=\"color: #000080;\">Key Takeaway:<\/span> <\/strong>Section 377 is largely a redrafted version of Section 263 with clearer drafting, defined terminology and a new 60-day residual limitation safeguard.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Revision_of_Other_Orders\"><\/span><span style=\"color: #000080;\"><strong>Revision of Other Orders<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Section 264 (1961 Act) vs Section 378 (2025 Act) :\u00a0Section 264 has long been regarded as a beneficial provision allowing taxpayers to seek revision of orders that are prejudicial to them. The corresponding provision in the 2025 Act is Section 378.\u00a0Key Features Retained :\u00a0The following provisions continue without substantive change:<\/p>\n<ul>\n<li>Revision can be initiated either suo motu or on assessee&#8217;s application.<\/li>\n<li>Application must be filed within one year.<\/li>\n<li>Delay can be condoned upon showing sufficient cause.<\/li>\n<li>Revision cannot be sought where the matter is appealable and the appeal period is still available.<\/li>\n<li>Revision cannot be exercised where the subject matter is already under appeal.<\/li>\n<li>Application fee remains \u20b9500.<\/li>\n<li>Revision order must be passed within one year from the end of the financial year in which the application is made.<\/li>\n<\/ul>\n<p><strong><span style=\"color: #000080;\">Key Improvements:<\/span>\u00a0<\/strong>Similar to Section 377, the new Section 378 introduces a 60-day residual limitation safeguard. This ensures that the authority gets a minimum period to complete proceedings after excluding certain periods from limitation calculations.<\/p>\n<p><span style=\"color: #000080;\"><strong>Practical Impact: <\/strong><\/span>For taxpayers, Section 378 is essentially a continuation of Section 264. The substantive relief mechanism remains intact, ensuring that taxpayers continue to have a revisionary remedy even where no appeal is preferred.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Comparative_Table_on_Revision_of_Other_Orders\"><\/span><span style=\"color: #000080;\"><strong>Comparative Table on Revision of Other Orders<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table>\n<tbody>\n<tr>\n<td><span style=\"color: #000080;\"><strong>Particulars<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Income Tax Act, 1961<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Income Tax Act, 2025<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Key Change<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td>Section<\/td>\n<td>Section 264<\/td>\n<td>Section 378<\/td>\n<td>Renumbered provision<\/td>\n<\/tr>\n<tr>\n<td>Nature<\/td>\n<td>Revision beneficial to assessee<\/td>\n<td>Same<\/td>\n<td>No substantive change<\/td>\n<\/tr>\n<tr>\n<td>Authority<\/td>\n<td>PCIT \/ CIT<\/td>\n<td>Competent Authority<\/td>\n<td>Defined term introduced<\/td>\n<\/tr>\n<tr>\n<td>Application Time<\/td>\n<td>Within 1 year<\/td>\n<td>Within 1 year<\/td>\n<td>Unchanged<\/td>\n<\/tr>\n<tr>\n<td>Delay Condonation<\/td>\n<td>Available<\/td>\n<td>Available<\/td>\n<td>Retained<\/td>\n<\/tr>\n<tr>\n<td>Appeal Restriction<\/td>\n<td>Revision not allowed if appeal available or filed<\/td>\n<td>Same<\/td>\n<td>Retained<\/td>\n<\/tr>\n<tr>\n<td>Revision Fee<\/td>\n<td>\u20b9500<\/td>\n<td>\u20b9500<\/td>\n<td>Unchanged<\/td>\n<\/tr>\n<tr>\n<td>Order Disposal<\/td>\n<td>Within 1 year<\/td>\n<td>Within 1 year<\/td>\n<td>Unchanged<\/td>\n<\/tr>\n<tr>\n<td>Exclusion of Limitation<\/td>\n<td>Allowed<\/td>\n<td>Allowed<\/td>\n<td>Retained<\/td>\n<\/tr>\n<tr>\n<td>Residual Limitation Extension<\/td>\n<td>Not specifically provided<\/td>\n<td>Extended to a minimum of 60 days<\/td>\n<td>New provision<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><span style=\"color: #000080;\"><strong>Key Takeaway : <\/strong>\u00a0<\/span>Section 378 substantially reproduces Section 264 with better drafting and the introduction of a 60-day limitation protection.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Faceless_Revision_and_Giving_Effect_Framework\"><\/span><span style=\"color: #000080;\"><strong> Faceless Revision and Giving Effect Framework<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"color: #000080;\"><strong>Sections 264A &amp; 264B (1961 Act) vs. Section 532 (2025 Act) : <\/strong><\/span>One of the most significant structural changes in the new law relates to faceless administration.\u00a0Under the 1961 Act:<\/p>\n<ul>\n<li>Section 264A dealt with faceless revision proceedings.<\/li>\n<li>Section 264B dealt with faceless effect-giving proceedings.<\/li>\n<\/ul>\n<p>The 2025 Act consolidates both provisions into a single comprehensive framework under Section 532.<\/p>\n<p><span style=\"color: #000080;\"><strong>Major Changes\u00a0<\/strong><\/span><\/p>\n<ul>\n<li><span style=\"color: #000080;\"><strong> Single Omnibus Provision: <\/strong><\/span>Instead of maintaining separate provisions, a common section has been introduced for all schemes.<\/li>\n<li><strong><span style=\"color: #000080;\"> Wider Scope:<\/span> <\/strong>The new provision authorizes the government to frame faceless schemes for any purpose under the Act, rather than merely revision or effect-giving proceedings.<\/li>\n<li><strong><span style=\"color: #000080;\"> Power to Modify Existing Schemes:<\/span> <\/strong>Section 532 expressly empowers the Central Government to amend or modify already notified schemes. This authority was not specifically incorporated in the earlier provisions.<\/li>\n<li><span style=\"color: #000080;\"><strong>Practical Impact: <\/strong><\/span>Section 532 significantly strengthens the framework for faceless tax administration and provides flexibility for further digital transformation of tax proceedings.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Comparative_Table_on_Faceless_Revision_Effect-Giving_Schemes\"><\/span><span style=\"color: #000080;\"><strong>Comparative Table on Faceless Revision &amp; Effect-Giving Schemes<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<table>\n<tbody>\n<tr>\n<td><span style=\"color: #000080;\"><strong>Particulars<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Income Tax Act, 1961<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Income Tax Act, 2025<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Key Change<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td>Faceless Revision<\/td>\n<td>Section 264A<\/td>\n<td>Section 532<\/td>\n<td>Consolidated into a common scheme section<\/td>\n<\/tr>\n<tr>\n<td>Faceless Giving Effect<\/td>\n<td>Section 264B<\/td>\n<td>Section 532<\/td>\n<td>Merged into one omnibus provision<\/td>\n<\/tr>\n<tr>\n<td>Scope<\/td>\n<td>Limited to revision\/effect giving<\/td>\n<td>Applicable for any purpose under the Act<\/td>\n<td>Significant expansion<\/td>\n<\/tr>\n<tr>\n<td>Modification of Existing Schemes<\/td>\n<td>Not specifically provided<\/td>\n<td>Explicit power provided<\/td>\n<td>New enabling provision<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong><span style=\"color: #000080;\">Key Takeaway:<\/span> <\/strong>Section 532 creates a comprehensive framework enabling faceless administration across the Act, replacing separate provisions.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Rectification_of_Mistakes_Apparent_from_Record\"><\/span><span style=\"color: #000080;\"><strong>Rectification of Mistakes Apparent from Record<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Section 154 (1961 Act) vs Section 287 (2025 Act) :\u00a0Rectification provisions allow correction of obvious and patent mistakes without undergoing lengthy appellate proceedings.\u00a0Section 154 has been reintroduced as Section 287 under the 2025 Act.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Provisions_Retained\"><\/span><span style=\"color: #000080;\"><strong>Provisions Retained<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The following principles remain unchanged:<\/p>\n<ul>\n<li>Rectification can be made for mistakes apparent from the record.<\/li>\n<li>Authorities may rectify errors suo motu.<\/li>\n<li>Assessees, deductors and collectors can request rectification.<\/li>\n<li>Refunds resulting from rectification continue to be admissible.<\/li>\n<li>Four-year limitation period remains unchanged.<\/li>\n<li>Rectification applications must be disposed of within six months.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Improvements_in_Drafting\"><\/span><span style=\"color: #000080;\"><strong>Improvements in Drafting<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The new law separately and explicitly provides:<\/p>\n<ul>\n<li>Requirement of notice before enhancement of liability.<\/li>\n<li>Opportunity of hearing before adverse rectification.<\/li>\n<li>Issuance of demand notice after rectification that enhances liability.<\/li>\n<li>Clearer ordering and presentation of procedural requirements.<\/li>\n<\/ul>\n<p><span style=\"color: #000080;\"><strong>Practical Impact: <\/strong><\/span>There is virtually no substantive change in the rectification mechanism. Section 287 is primarily a clearer and more structured version of Section 154.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Comparative_Table_on_Rectification_of_Mistakes\"><\/span><span style=\"color: #000080;\"><strong>Comparative Table on Rectification of Mistakes<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<table>\n<tbody>\n<tr>\n<td><span style=\"color: #000080;\"><strong>Particulars<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Income Tax Act, 1961<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Income Tax Act, 2025<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Key Change<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td>Section<\/td>\n<td>Section 154<\/td>\n<td>Section 287<\/td>\n<td>Renumbered provision<\/td>\n<\/tr>\n<tr>\n<td>Rectification Power<\/td>\n<td>Mistake apparent from record<\/td>\n<td>Same<\/td>\n<td>No substantive change<\/td>\n<\/tr>\n<tr>\n<td>Orders Covered<\/td>\n<td>Orders, intimations u\/s 143(1), 200A, 206CB<\/td>\n<td>Orders and corresponding new Act intimations<\/td>\n<td>References updated<\/td>\n<\/tr>\n<tr>\n<td>Suo Moto Rectification<\/td>\n<td>Permitted<\/td>\n<td>Permitted<\/td>\n<td>Unchanged<\/td>\n<\/tr>\n<tr>\n<td>Rectification on Application<\/td>\n<td>Allowed<\/td>\n<td>Allowed<\/td>\n<td>Unchanged<\/td>\n<\/tr>\n<tr>\n<td>Opportunity of Hearing<\/td>\n<td>Required before enhancement<\/td>\n<td>Expressly and separately stated<\/td>\n<td>Better drafting clarity<\/td>\n<\/tr>\n<tr>\n<td>Rectification Order<\/td>\n<td>Written order required<\/td>\n<td>Written order required<\/td>\n<td>Retained<\/td>\n<\/tr>\n<tr>\n<td>Refund Consequent to Rectification<\/td>\n<td>Allowed<\/td>\n<td>Allowed<\/td>\n<td>Retained<\/td>\n<\/tr>\n<tr>\n<td>Demand Notice after Rectification<\/td>\n<td>Provided<\/td>\n<td>Explicitly elaborated<\/td>\n<td>Improved drafting<\/td>\n<\/tr>\n<tr>\n<td>Limitation Period<\/td>\n<td>4 years<\/td>\n<td>4 years<\/td>\n<td>Unchanged<\/td>\n<\/tr>\n<tr>\n<td>Disposal of Rectification Application<\/td>\n<td>6 months<\/td>\n<td>6 months<\/td>\n<td>Retained and made explicit<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><strong><span style=\"color: #000080;\">Key Takeaway:<\/span>\u00a0<\/strong>Section 287 largely mirrors Section 154. Changes are primarily drafting, restructuring, and clarification-oriented rather than substantive.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><span style=\"color: #000080;\"><strong>Conclusion<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The Income-tax Act, 2025 does not fundamentally alter the revision and rectification ecosystem established under the Income-tax Act, 1961. Most concepts, powers, safeguards, and timelines have been preserved. The principal objective appears to be simplification through renumbering, streamlined drafting, and consolidation of provisions.\u00a0The most noteworthy changes include:<\/p>\n<ul>\n<li>Introduction of the defined term &#8220;Competent Authority.&#8221;<\/li>\n<li>Consolidation of faceless revision and effect-giving provisions into Section 532.<\/li>\n<li>Introduction of the 60-day residual limitation safeguard.<\/li>\n<li>Better drafting and procedural clarity in rectification provisions.<\/li>\n<\/ul>\n<p>F<span style=\"color: #000000;\">or taxpayers, chartered accountants, tax practitioners, and litigation professionals, the takeaway is clear: the framework remains familiar, but the presentation is cleaner, more structured, and aligned with the government&#8217;s broader objective of digital and faceless tax administration.\u00a0Comparative Chart &#8211; Revision &amp; Rectification Provisions Income Tax Act, 1961 vs. Income Tax Act, 2025<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><span style=\"color: #000080;\"><strong>Provision<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>1961 Act<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>2025 Act<\/strong><\/span><\/td>\n<td><span style=\"color: #000080;\"><strong>Impact<\/strong><\/span><\/td>\n<\/tr>\n<tr>\n<td>Revision prejudicial to revenue<\/td>\n<td>Sec. 263<\/td>\n<td>Sec. 377<\/td>\n<td>Renumbered with procedural refinements<\/td>\n<\/tr>\n<tr>\n<td>Revision of other orders<\/td>\n<td>Sec. 264<\/td>\n<td>Sec. 378<\/td>\n<td>Largely unchanged<\/td>\n<\/tr>\n<tr>\n<td>Faceless revision<\/td>\n<td>Sec. 264A<\/td>\n<td>Sec. 532<\/td>\n<td>Consolidated framework<\/td>\n<\/tr>\n<tr>\n<td>Effect giving orders<\/td>\n<td>Sec. 264B<\/td>\n<td>Sec. 532<\/td>\n<td>Consolidated framework<\/td>\n<\/tr>\n<tr>\n<td>Rectification of mistakes<\/td>\n<td>Sec. 154<\/td>\n<td>Sec. 287<\/td>\n<td>Retained with improved drafting<\/td>\n<\/tr>\n<tr>\n<td>Authority<\/td>\n<td>Multiple authorities named<\/td>\n<td>Competent Authority<\/td>\n<td>Simplified terminology<\/td>\n<\/tr>\n<tr>\n<td>Limitation protection<\/td>\n<td>No specific safeguard<\/td>\n<td>60-day residual limitation rule<\/td>\n<td>Additional procedural protection<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n","protected":false},"excerpt":{"rendered":"<p>Revision &amp; Rectification Provisions under the Income-tax Act, 2025 vs the Income-tax Act, 1961 Understanding the Key Changes in Revision and Rectification Framework The Income-tax Act, 2025 aims to simplify, consolidate, and modernize India&#8217;s direct tax legislation. While the revision and rectification framework has largely been retained from the Income-tax Act, 1961, several provisions have &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9],"tags":[10549],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/33061"}],"collection":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/comments?post=33061"}],"version-history":[{"count":4,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/33061\/revisions"}],"predecessor-version":[{"id":33064,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/33061\/revisions\/33064"}],"wp:attachment":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/media?parent=33061"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/categories?post=33061"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/tags?post=33061"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}