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Capital Gains Accounts (Second Amendment) Scheme, 2025- What Taxpayers Need to Know
For taxpayers planning to claim exemptions under sections 54, 54B, 54D, 54F, 54G, 54GA and 54GB, this amendment brings long-awaited digital ease, clearer timelines, and wider accessibility.
Key Changes Introduced:
1. Digital Payment Options Included: Deposits into Capital Gains Accounts can now be made through UPI, IMPS, NEFT, RTGS, net banking, credit/debit cards, and BHIM Aadhaar Pay.
Why it matters: No more dependence on cheques and drafts — taxpayers can now deposit instantly and meet exemption deadlines without banking delays.
2. Electronic Statements Recognised: The scheme now formally accepts electronic statements issued by banks.
Benefit: Cleaner documentation, easier record-keeping, and no physical branch visits — helpful for NRIs and remote taxpayers.
3. Expanded Coverage to Section 54GA: The notification adds Section 54GA (shifting industrial undertakings to SEZs) to the scheme.
Impact: Businesses relocating to SEZs can now use the benefit of CGAS.
4. Clarification on “Effective Date of Deposit”: Whether through cheque or electronic mode, the date the deposit office receives the amount is now treated as the deposit date (subject to realisation).
Advantage: Reduced ambiguity, fewer disputes, and greater certainty while computing exemption timelines.
5. More Banks Can Operate CGAS: The definition of “Deposit Office” is widened to include any authorised bank branch, not just earlier-specified options.
Result: More options, better accessibility, and improved service flexibility for taxpayers.
6. Mandatory Electronic Closure from 1 April 2027: From 1 April 2027 (FY 2027-28), closure of CGAS accounts must be done electronically using DSC or EVC, with updated forms.
Why this is significant: A full digital lifecycle — from deposit to closure — reduces paperwork and speeds up processing.
Benefits for Taxpayers:
. Faster, frictionless compliance — UPI/ NEFT/ RTGS make deposits instantaneous.
. Reduced risk of missing deadlines due to clearer deposit-date rules.
. Fully digital documentation, hence, no queues and delays.
. Increased bank coverage means easier access across cities.
. Better support for businesses relocating to SEZs under Section 54GA.
. Future-ready system with mandatory e-closure ensures long-term transparency and efficiency.
The Capital Gains Accounts (Second Amendment) Scheme, 2025 is a modern, digital upgrade to an age-old compliance mechanism.
While the core tax exemptions remain unchanged, the process of availing them becomes faster, cleaner, and far more user-friendly.