In the Lok Sabha of Parliament, the government has introduced a new Income Tax Bill 2025. The bill will be kept for discussion in the next part of the budget session. The Income Tax Bill will replace the Income Tax Act 1961. The new bill made many changes, whose information was revealed in the draft copy on Wednesday before its introduction.
The new bill claims to be transparent and taxpayers friendly. In this, it has been suggested that digitalization rules and strict rules, improve tax payment improvement tax system.
Income Tax Bill 2025 Big things
1- The number of pages in the bill was so low: The new Income Tax Bill has made the first and major changes that it has been made short with simple words than before ordinary people. For example, the 1961 Income Tax Bill had 880 pages, but after six decades, the number of pages included has decreased to 622. The new tax bill has 536 sections and 23 chapters.
2- The concept of ‘tax year’: Today’s new bill brings the concept of tax year. Which will now replace the diagnosis used year and last year. Generally, it has been observed that there were confusion while diagnosing taxpayers and fiscal year, but now it will be used only by eliminating them. For example, the tax year 2025-26 will be from 1 April 2025 to 31 March 2026, 2025-26. That means, the entire 12 months of the financial year will now be called tax years.
3- Standard didlation: If you are a salary under the new tax bill, then you will continue to deduce the standard deduction of Rs 50,000 under the old tax government, but if you choose a new tax reset, this deduction is for you. 75,000. At the same time, there will be no change in the tax slab under the new tax government and there will be no change in the rates announced in the budget.
There is no income tax of up to Rs 4 lakh
5 % tax 4 lakh 1 to 8 lakh
10 % tax from Rs 8 lakh 1 to 12 lakh
15 % tax from Rs 12 lakh 1 to 16 lakh to Rs 16 lakh
20 % tax from Rs 16 lakh 1 to 20 lakh
ALSO READ: The full draft of the new Income Tax Bill has surfaced, what is in 622 pages? See here
4- CBDT gets this right: Income tax in the new tax bill, the next major change in changes against 1961 is linked to the Central Direct Tax Board (CBDT). According to this bill, the Department of Income Tax had to contact Parliament to start various tax schemes, but according to the new Tax Act 2025, CBDT now launching such schemes independently. The authority has been given. The purpose is to eliminate the delayed bureaucracy problem.
5- There is no change in capital gain rate: There is no change in the short -term capital profit period for the stock market in the draft. Under Section 101 (B), the period of 12 months will be considered as a short -term capital. In addition, its prices have been kept the same. The short -term capital Gain Tax has been maintained by 20 %, while a 12.5 % tax will be implemented under long -term capital.
6- Pension, NPS and discounts on insurance: The tax will continue on pensions, NPS partnerships and insurance under the new Income Tax Bill of DIDC. Retirement funds, gratiti and PF partnerships have also been kept under tax exemption. Investing in the ELSS Mutual Fund will also be relieved of tax.
ALSO READ: Budget 2025: Big news for taxpayers, next week’s Income Tax bill will come, see
7- Perfect on tax evasion: In the new tax bill, taxpayers have been provided for more rigor and penalties. Deliberately prosecutes can be taken against taxpayers. More interest and penalties can be received for non -payment of tax. If a person tries to hide his income, then his account can be confiscated. In addition, giving false or incomplete information will be a huge fine.
8- must make tax payment transparent: The central government aims to make the existing tax system digital and more transparent through a new tax bill. Payment of its L, EKC and online tax is being made compulsory. With e -filing mandatory, tax payment will increase transparency.
9- Tax waiver on agriculture revenue: In the new tax bill, agriculture revenue has been kept tax free under certain conditions. There will be tax exemptions on religious trusts, institutions and donations. At the same time, electoral confidence has also been exempted from tax.
10- This change to reduce tax disputes: Due to several ambiguous provisions in the 1961 tax bill, there have been disputes between taxpayers and the government, and due to this, the number of litigation has also increased steadily. The new tax bill is being introduced with clear rules and simple words, which will make it easier to understand and reduce the number of disputes.
. New Income Tax Bill (T) Fulfillment New Income Tax Bill (T) Nirmala Sitarman (T) New Tax Regime (T) New Tax Slab (T) Income Tax Implementation (T) Pence Administration (T) Fine (T) Tax (T) tax penalty
