India

Finance Minister Nirmala Sitharaman Tables New Income Tax Bill In Lok Sabha

Finance Minister Nirmala Sitharaman introduced the Income Tax Bill, 2025, in the Lok Sabha on Thursday. The bill is part of tax reforms aimed at simplifying and streamlining tax laws. It seeks to make provisions clearer and reduce legal disputes.

The new bill will replace the 1961 Income Tax Act, which has grown complicated over the years due to multiple revisions. The legislation will now be reviewed by a Select Committee before it gets final approval. If passed, it will take effect on April 1, 2026.

Also Read: Kharge Calls Waqf JPC Report ‘Unconstitutional’; Centre Dismisses Allegations

The primary goal of the bill is to simplify the tax code, making it easier to understand and more transparent. By replacing complex provisions with simpler ones, it aims to encourage voluntary tax compliance and reduce legal conflicts.

The bill also proposes lower penalties for certain offenses, creating a more taxpayer-friendly system. It condenses the law from 823 pages to 622 pages, with 536 clauses instead of 819 sections. Key changes include replacing terms like ‘assessment year’ with ‘tax year’ to simplify language and eliminate outdated provisions.

However, the bill will not alter current tax slabs or rebates. Instead, it focuses on making the law more accessible and understandable.

Rohinton Sidhwa, Partner at Deloitte India, called the reform a major step towards modernizing India’s tax framework, promising clarity and efficiency. He added that the bill would help build trust in the tax system.

Shibra Arshad

Recent Posts

OpenAI Launches ‘OpenAI Academy India’ To Boost AI Education Nationwide

OpenAI, in collaboration with the Indian government’s IndiaAI mission, launched its first international educational platform…

8 hours ago

Mahua Moitra Confirms Marriage To Former BJD MP Pinaki Misra

Trinamool Congress MP Mahua Moitra on Thursday confirmed her marriage to senior advocate and former…

8 hours ago

PM Modi Launches ‘Aravali Green Wall’ Project On World Environment Day

PM Narendra Modi on Thursday launched the ambitious ‘Aravali Green Wall’ project by planting a…

8 hours ago

Dassault And Tata To Manufacture Rafale Fuselages In India By 2028

French aerospace giant Dassault Aviation has signed four agreements with Tata Advanced Systems Limited (TASL)…

9 hours ago

PM Modi Emphasises Indian Railways’ Role In Building A Greener Future

On the occasion of World Environment Day, PM Narendra Modi underscored the crucial role of…

9 hours ago

AIIMS Delhi, IIT Delhi To Establish Center Of Excellence For AI In Healthcare

The All-India Institute of Medical Sciences (AIIMS) and the Indian Institute of Technology (IIT) Delhi…

9 hours ago