ICAI Exam Update: New Income Tax Act will be Included in CA Intermediate, Final and Self-Paced Exams, Know Complete Details

The Institute of Chartered Accountants of India ( ICAI ), through its Board of Studies (Academic), has officially announced that the Income-tax Act, 2025 will be applicable for CA examinations from May 2027 onwards.

The new legislation, which received Presidential assent on 21 August 2025, is set to come into effect from 1 April 2026, governing the tax year 2026-27.

The notification states that as the Act's tax year ends on March 31, 2027, the updated sections will be tested in CA tests held after that date. In order to guarantee that students are assessed on the most recent tax law, ICAI has matched the exam syllabus with the new legislative framework.

APPLICABILITY OF NEW INCOME TAX ACT ACROSS CA EXAM LEVELS

ICAI has clarified the following changes in syllabus applicability:

CA Intermediate

Paper 3A: Income-tax Law: Students appearing from the May 2027 cycle onward will be examined under the newly enacted Income-tax Act, 2025.

CA Final

Paper 4: Direct Tax Laws & International Taxation: The entire tax component at the Final level will adopt the new Act starting May 2027 examinations.

Self-Paced Online Modules

Set C - Paper 5: International Taxation

ICAI has notified that the candidates taking self-paced modules on or after 1 May 2027 will also be required to study and apply the provisions of the updated Income-tax Act.

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