New Income Tax Bill 2025: A Simplified Taxation Approach

Union Finance Minister Nirmala Sitharaman introduced the Income Tax Bill, 2025, in the Lok Sabha, seeking a referral to a select committee. Despite opposition at the introduction stage, the Bill aims to simplify taxation language by replacing complex terminologies with more straightforward terms.

The Union Finance Minister, Nirmala Sitharaman, presented the Income Tax Bill, 2025, in the Lok Sabha on Thursday, advocating for its referral to a select committee. She requested Lok Sabha Speaker Om Birla to consider this move amidst opposition objections.

Despite resistance from opposition members, the House authorized the Bill's introduction through a voice vote. Sitharaman emphasized the need for the committee's review, anticipating its report by the next session's commencement.

The proposed Bill intends to streamline tax language. It substitutes complex terms like 'assessment year' and 'previous year' with the simpler 'tax year,' aiming to enhance comprehension and efficiency in taxation processes.

(With inputs from agencies.)