New Income Tax Bill 2025 Updates: The new income tax bill has focused on making things easier. Also, ‘Assessment Year’ will be replaced with ‘Tax Year’.
New Delhi:
The new Income Tax Bill 2025 has been introduced in the Lok Sabha on Thursday by Finance Minister Nirmala Sitharaman. In the new bill, the government has emphasized on simplification of laws. The new law will replace the Old Income Tax Act, 1961, which has become old in the present time and has become quite complicated due to frequent amendments.
Number of sections in new income tax bill reduced to 536
In the new Income Tax Bill 2025, the government has insisted on simplifying reforms and laws. The new Income Tax Bill 2025 has reduced the number of sections from 819 to 536. In this, unnecessary discounts have been abolished and at the same time the total word number in the new bill has been reduced from 5 lakh to 2.5 lakh.
New tax law will be implemented from 1 April 2026
The new tax law will be implemented from April 1, 2026. After appearing in the Lok Sabha, the new law will be sent to the Parliamentary Standing Committee on Finance for further consultation. This bill will not change the existing tax slab or given Will reduce the tax exemption. Instead, the goal of the new law is to make the six -decade -old law adapt to the present time. This will strengthen India’s tax base and improve income stability in a long time. This law also brings India’s tax system closer to global best practice.
Focus on technology operated assessment
A major feature of the new Income Tax Bill 2025 is that it focuses on technology -operated assessment. To ensure more clarity, the new income tax bill to explain the tax provisions to make it easier for individuals and businesses to make interpretation easier. Tables, examples and formulas have also been included.
By simplifying tax laws, the new income tax bill 2025 is trying to impose business on increasing business and not on tax planning. This will help in increasing the economy of the country.
