Union Finance Minister Nirmala Sitharaman is likely to introduce the New Income Tax Bill in the Lok Sabha today. The new Bill is set to replace the 60-year-old Income Tax Act. During an interaction with the media on Saturday, Sitharaman had said that she plans to table the Bill in Parliament soon.
Subsequently, it will be sent to House panel for further scrutiny. Earlier on Friday, the Union Cabinet led by Prime Minister Narendra Modi had given the approval for the new Income Tax Bill.
It was during the Budget speech in July 2024 that Sitharaman had spoken about a detailed review of the Income-Tax Act, 1961. The Centre says that the new Bill will overhaul the current system to make direct tax laws much simpler for everyone to understand.
New Income Tax Bill 2025: Will Modi govt introduce new taxes?
Amid the speculations of introduction of new taxes under the new Bill, the Centre has clarified that the Bill aims to simplify the current tax laws and won’t introduce any new cess. There are reports that the new Bill will have several amendments that will help in reducing the litigation. The Bill aims to be more people-friendly with less punitive stance for the violators.
One of the most talked-about aspect of the Bill is to make the language of the tax framework easy to understand. The government has said that this will help ordinary taxpayers to understand the nitty-gritty of the law.
