Notification no. 38/2025 dated 23.04.2025- Income tax

Central Board of Direct Taxes (CBDT) issued notification no. 38/2025 dated 23.04.2025. The Central Government hereby notifies that any expenditure incurred to settle proceedings initiated in relation to contravention or defaults under the following laws shall not be deemed to have been incurred for the purpose of business or profession and no deduction or allowance shall be made in respect of such expenditure, namely:–

(a) the Securities and Exchange Board of India Act, 1992 (15 of 1992);

(b) the Securities Contracts (Regulation) Act, 1956 (42 of 1956);

(c) the Depositories Act, 1996 (22 of 1996);

(d) the Competition Act, 2002 (12 of 2003).

This notification shall come into force on the date of its publication in the Official Gazette