The Income Tax Bill 2025, a document of 622 pages comprising 536 sections and 23 chapters, is anticipated to be introduced in the Lok Sabha on Thursday, February 13, 2025. Once enacted, the proposed bill will replace the six-decade-old Income Tax Act of 1961, which has become increasingly complex and cumbersome due to numerous amendments.

The proposed bill states upon choosing the new regime, taxpayers are unable to revert to the previous system in subsequent years unless specific criteria are breached. In this framework, taxpayers must forego some deductions and exemptions in return for a reduced tax rate under the New Tax Regime.

However, it is noteworthy that the current Bill is expected to undergo a lot of changes since the income tax portal is still inviting suggestions from people with regards to the new tax bill under the section ‘new’. Either this is just an error of judgement from the income tax department, or the Bill would still undergo a number of changes.

The Income Tax Bill, 2025, will be tabled in Parliament on Thursday. Learn about its key highlights, including simplification, new tax year concept, and taxpayer's charter.

One significant amendment in the revised Income Tax Bill is the introduction of the term 'tax year', which replaces the traditional concept of the 'assessment year'.

Deductions from salaries, such as standard deduction, gratuity, and leave encashment, have now been consolidated in one section instead of being scattered across various sections

Aimed at overhauling the nation’s tax system, the Income Tax Bill 2025 seeks to eliminate obsolete sections that have accumulated over decades.

India will introduce a new condensed version of its income tax law in the lower house of the Parliament on Thursday, which aims to simplify the six decades old rules that have led to a slew of litigations.

The Income Tax Act 2025 will replace the current Income Tax Act 1961. As the current income tax laws will change, many taxpayers are worried about how the new income tax bill can impact them. Here are 10 things from the new income tax bill that will impact taxpayers.