Insertion of new section 194P

In force As on 07 Oct 2026

Ministry Finance

Section 53 of the Finance Act, 2021 deals with insertion of new section 194P. Insertion of new section 194P. 53. After section 194-O of the Income-tax Act, the following section shall be inserted, namely:— '194P.

Insertion of new section 194P.
53. After section 194-O of the Income-tax Act, the following section shall be inserted, namely:—
'194P. Deduction of tax in case of specified senior citizen.—(1) Notwithstanding anything contained in the provisions of Chapter XVII-B, in case of a specified senior citizen, the specified bank shall, after giving effect to the deduction allowable under Chapter VI-A and rebate allowable under section 87A, compute the total income of such specified senior citizen for the relevant assessment year and deduct income-tax on such total income on the basis of the rates in force.
(2) The provisions of section 139 shall not apply to a specified senior citizen for the assessment year relevant to the previous year in which the tax has been deducted under sub-section (1).
Explanation.—For the purposes of this section,—
(a) "specified bank" means a banking company as the Central Government may, by notification in Official Gazette, specify;
(b) "specified senior citizen" means an individual, being a resident in India—
(i) who is of the age of seventy-five years or more at any time during the previous year;
(ii) who is having income of the nature of pension and no other income except the income of the nature of interest received or receivable from any account maintained by such individual in the same specified bank in which he is receiving his pension income; and
(iii) has furnished a declaration to the specified bank containing such particulars, in such form and verified in such manner, as may be prescribed.'.
Section 53, The Finance Act, 2021.

Cross-references

Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.

This section refers to

s. 139 Amendment of section 27

Questions about Section 53

What does Section 53 of the Finance Act deal with?

Section 53 of the Finance Act is headed "Insertion of new section 194P". Insertion of new section 194P. 53. After section 194-O of the Income-tax Act, the following section shall be inserted, namely:— '194P.

How do I find court cases under Section 53 of the Finance Act?

In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Finance Act 2021 53, section 53 Finance Act 2021, section 53 of the Finance Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.

What should I read with Section 53 of the Finance Act, and has it changed?

Its own text turns on section 139 (Amendment of section 27), so none of them can safely be read on its own.

When was the Finance Act enacted?

Finance Act was enacted in 2021. India Code records no commencement date for it. It is in force as at the date shown on this page.

Other sections of this Act

Fourth Schedule. Fourth Schedule26628 words
First Schedule. First Schedule9574 words
2. Income-tax5993 words
6. Amendment of section 103582 words
130. Substitution of new section for section 43513 words
131. Substitution of new section for section 52699 words

Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Harvested from the Income Tax Department's own portal at incometaxindia.gov.in, which publishes the Finance Acts section by section. India Code carries none of them: its Central community holds the Acts that stand as general law, and a Finance Act is an amending and rate-fixing instrument. This page is not a substitute for legal advice.

(a)		"specified bank" means a banking company as the Central Government may, by notification in Official Gazette, specify;
(b)		"specified senior citizen" means an individual, being a resident in India—

(i)		who is of the age of seventy-five years or more at any time during the previous year;
(ii)		who is having income of the nature of pension and no other income except the income of the nature of interest received or receivable from any account maintained by such individual in the same specified bank in which he is receiving his pension income; and
(iii)		has furnished a declaration to the specified bank containing such particulars, in such form and verified in such manner, as may be prescribed.'.