EconomyWednesday, 1 April 2026·The Hindu
Finance Act 2026 raises Safe Harbour threshold to ₹2,000 crore and sets 15.5% IT services margin
The Finance Act 2026 revised Safe Harbour Rules by merging technology service segments and raising the eligibility threshold to ₹2,000 crore.
Key highlights
Direct fact
In 2026, the Finance Act revised India’s Safe Harbour Rules by creating a single Information Technology Services category with a 15.5% margin and raising the threshold to ₹2,000 crore.
Key specifics
- The new uniform margin for Information Technology Services is 15.5%.
- The eligibility threshold was raised from ₹300 crore to ₹2,000 crore.
- Multiple technology service segments were consolidated into one category.
- The framework is described as system-driven and automated.
- Safe Harbour Rules offer a faster, lower-cost alternative to APAs.
Exam lens
Question type: economy and direct tax reforms; Finance Act 2026, 15.5% margin, ₹2,000 crore threshold, and automation are the one-line facts likely to be asked.