The Economic Times

Is tax clearance mandatory before foreign travel? What the Income-Tax Act, 2025 says

The introduction of Form 157 and Form 159 under the Income-Tax Rules, 2026 has sparked confusion over whether tax clearance is now mandatory for all Indians travelling abroad. However, a closer reading of Section 420 of the Income-Tax Act, 2025read with Section 536 and CBDT Instruction No. 1/2004makes it clear that no such blanket requirement exists.