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Section198
The Income-tax Act, 1961

Tax deducted is income received

Repealed From 01 Apr 1962 Act 43 of 1961 As on 17 Oct 2026

Act 43 of 1961 Ministry Finance Enacted 13 Sep 1961 In force 01 Apr 1962 Cited by 11 provisions

This provision is repealed. Repealed by the Income-tax Act, 2025 with effect from 1 April 2026. It is reproduced because conduct before that date is still charged, tried and appealed under it.

Section 198 of the Income-tax Act, 1961 deals with tax deducted is income received. All sums deducted in accordance with the foregoing provisions of this Chapter [and income-tax paid outside India, by way of deduction, in respect of which an assessee is allowed a credit against the tax payable under this Act], shall, for the purpose of computing the income of an assessee, be deemed The Act came into force on 01 Apr 1962. Repealed by the Income-tax Act, 2025 with effect from 1 April 2026, but conduct before that date is still charged, tried and appealed under it.

All sums deducted in accordance with the foregoing provisions of this Chapter [and income-tax paid outside India, by way of deduction, in respect of which an assessee is allowed a credit against the tax payable under this Act], shall, for the purpose of computing the income of an assessee, be deemed to be income received :

Provided that the sum being the tax paid, under sub-section (1A) of section 192 for the purpose of computing the income of an assessee, shall not be deemed to be income received:

Provided further that the sum deducted in accordance with the provisions of section 194N for the purpose of computing the income of an assessee, shall not be deemed to be income received.

Section 198, The Income-tax Act, 1961 (Act 43 of 1961).

Now in the Income-tax Act

INCOME-TAX-ACT-2025 396 Tax deducted is income received Official correspondence

Measured by comparing the text of the two provisions, not taken from an official correspondence table — there is no machine-readable one. See both texts side by side before relying on it.

Both regimes are live. The repealed enactment still governs what happened while it was in force. We never redirect one to the other.

Cross-references

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

This section refers to

  1. s. 192 Salary
  2. s. 194N Payment of certain amounts in cash

Referred to by 11

  1. Finance Act s. 24 Amendment of section 193
  2. Finance Act s. 60 Amendment of sections 198 to 200, 202, 203, 203A and 205
  3. Finance Act s. 78 Amendment of sections 198 to 200, 202 to 203A and 205
  4. Finance Act s. 30 Amendment of sections 198 to 200, 202 to 203A and 205
  5. Finance Act s. 43 Amendment of sections 198 to 200 and 202 to 205
  6. Finance Act s. 40 Amendment of sections 198 to 200 and 202 to 205
  7. Finance Act s. 78 Amendment of section 198 to 200, 202 to 203A, 204 and 205
  8. Finance Act s. 86 Amendment of section 198
  9. Finance Act s. 40 Amendment of section 198
  10. Finance Act, 2019 (No. 2) s. 49 Amendment of section 198
  11. Finance Act, 2024 (No. 2) s. 66 Amendment of section 198

Questions about Section 198

What does Section 198 of the Income-tax Act deal with?

Section 198 of the Income-tax Act is headed "Tax deducted is income received". All sums deducted in accordance with the foregoing provisions of this Chapter [and income-tax paid outside India, by way of deduction, in respect of which an assessee is allowed a credit against the tax payable under this Act], shall, for the purpose of computing the income of an assessee, be deemed

How do I find court cases under Section 198 of the Income-tax 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: Income Tax Act 198, section 198 Income Tax Act, section 198 of the Income-tax 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 198 of the Income-tax Act, and has it changed?

Its own text turns on section 192 (Salary), section 194N (Payment of certain amounts in cash), so none of them can safely be read on its own. 11 other provisions in this corpus refer back to it. For anything done on or after 1 April 2026 the provision to read is Income-tax Act, 2025, section 396 (Tax deducted is income received), which replaced it; conduct before that date is still charged, tried and appealed under this section.

When did Section 198 of the Income-tax Act come into force?

Section 198 of the Income-tax Act, cited as Income Tax Act 198, came into force on 01 Apr 1962, having been enacted on 13 Sep 1961. It is no longer in force.

Other sections of this Act

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. Recovered from the consolidated text published by the Income Tax Department, as amended by the Finance Act, 2026. India Code holds no record of this Act in any form. This page is not a substitute for legal advice.