Finance Act 2026 raises Safe Harbour threshold to ₹2,000 crore and sets 15.5% IT services margin

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.