New Income Tax Bill News

The new version includes most of the 285 suggestions made by a special committee that reviewed the earlier draft and submitted its report on July 21.  

The new income tax bill will make filing taxes easier for common citizens and small businesses.

New Income Tax Bill: On March 18, the government invited stakeholders to submit their suggestions on the newly introduced Income Tax Bill 2025. 

If authorized officers suspect someone hiding income, property, or documents to avoid paying taxes, they may examine and confiscate assets and accounts under Section 132 of the I-T Act, 1961 said a report in the Economic Times.

Addressing a post-Budget event here, the Finance Minister said the review of the Income-Tax Act, 1961 has a big component of Prime Minister Narendra Modi’s principle of 'Jan Bhagidari'.

Finance Minister Nirmala Sitharaman on Wednesday (13 February 2025) tabled the much talked about  New Income Tax Bill 2025 in Lok Sabha. The Bill will now be sent to the Parliamentary Standing Committee on Finance for further deliberations. 

Finance Minister Sitharaman introduces Income Tax Bill, 2025, in Lok Sabha amid opposition parties opposing its introduction.

The revised tax framework is expected to come into force from April 1, 2026.

A crispier and simplified Income Tax Bill 2025, having 536 sections, and 23 chapters running into 622 pages, is likely to be introduced in the Lok Sabha on Thursday.

The Bill once enacted will replace six-decade old Income Tax Act 1961, which over the years became bulkier and complex with amendments.