Income Tax Bill in Parliament Budget Session Highlights: Finance Minister Nirmala Sitharaman has tabled the new Income Tax Bill in the Lok Sabha at 2:00 pm on Thursday. She asked Lok Sabha Speaker Om Birla to nominate members for a Parliamentary Standing Committee who will review the new Bill. The first draft of the 622-page Bill drew significant attention on Wednesday when it highlighted a new concept of ‘tax year’ which is to come into effect from April 1, 2026. Although no major structural changes have been included in the new Income Tax Bill yet, but the language has been made simpler and many extra provisions have also been removed, as was promised by the FM earlier. The new Bill includes 23 chapters, 536 sections, and 16 schedules. Despite an increase in the number of sections, the Bill is still shorter because of removal of extra provisions and simplified language.
Key Pointers from the new Income Tax Bill
- The old tax regime will continue in the new legislation, but the new tax regime will remain selected as a default regime for taxpayers.
- The new Bill has gotten rid of the term ‘assessment year’, and replaced it with ‘tax year’ instead.
- The 44AD limit for business has been increased from 2 crore to 3 crore. For professionals, the limit has been increased from Rs 50 lakh to Rs 75 lakh.
Once the Bill is passed in the Parliament, it will be sent to a Parliamentary Standing Committee on Finance for reviewing.
New Income Tax Bill 2025 Highlights - Nirmala Sitharaman tables New Tax Bill in Lok Sabha Live today:
New Income Tax Bill 2025 Live Updates: Sitharaman asks Speaker to forward the draft law to a select committee
Nirmala Sitharaman requested Speaker Om Birla to refer the proposed legislation to a select committee of the House. Despite opposition members objecting during the Bill's introduction, the House approved its introduction through a voice vote.
As she introduced the Bill, Sitharaman once again asked Birla to forward the draft law to a select committee, which is expected to present its report by the first day of the next session. She also urged the Speaker to decide on the committee's structure and guidelines.
New Income Tax Bill LIVE: Opposition members opposed the Bill
Opposition members opposed the Bill at the introduction stage but the House passed a motion by voice vote for its introduction.
While moving the Bill for introduction, Sitharaman urged Birla to refer the draft law to a select committee of the House, which will submit its report by the first day of the next session.
New Income Tax Bill LIVE: This Bill is a commitment to efficient approach to taxation, says Sameer Gupta, National Tax Leader at EY India
Sameer Gupta, National Tax Leader at EY India said that the new Income Tax Bill has marked a significant step towards a simpler tax system. "By cutting down on sections and words, it aims to make the tax code more straightforward and user-friendly. The introduction of a 'tax year' concept clears up confusion around tax periods, encouraging easier compliance," Gupta said. He further added that the Bill is a commitment to a transparent and efficient approach to taxation, designed to support the taxpayer and contribute to steady economic growth.
New Income Tax Bill LIVE: What's next for the new Income Tax Bill?
After the new Income Tax Bill was tabled in the Lok Sabha, it will no go to Rajya Sabha. Post that, it will be sent to a Parliamentary Standing Committee which will review the new I-T Bill 2025.
New Income Tax Bill LIVE: Key Highlights of the New Income Tax Bill
- Simplification of language
- No new or additional taxes introduced
- Replaces Assessment Year with Tax Year
- To come into effect from April 1, 2026
- Regulations will be established after the Bill becomes an Act
- Replaces the word 'notwithstanding' with 'irrespective' for more clarity to the taxpayer
- Includes specific provisions for capital gains calculation
- Consolidates salary deductions in a single section, rather than listing in multiple sections.
New Income Tax Bill LIVE: Lok Sabha proceedings adjourned till March 10
The Lok Sabha proceedings are adjourned till March 10. The second leg of budget session however will now begin in Parliament on April 4.
New Income Tax Bill LIVE: BJP Lok Sabha MP Tejasvi Surya praises the new Bill
BJP Lok Sabha MP Tejasvi Surya praised the new Bill on Thursday and said that it will make the lives of taxpayers much easier. She added that India's Direct Taxation System will be overhauled to a more modern, simple and compliance-friendly taxation system.
New Income Tax Bill LIVE: Where to download the new Income Tax Bill from?
The new Income Tax Bill can be downloaded from the official Lok Sabha website - sansad.in/ls/legislation/bills . However, the new Bill has not been uploaded to the website yet, so one may have to wait a little longer.
New Income Tax Bill LIVE: Current Bill to undergo more changes?
The current Bill may undergo more changes as the the Income Tax website is still inviting suggestions on the new Tax Bill under the section that is listed as 'new'.
New Income Tax Bill LIVE: How to access the new Income Tax Bill 2025?
Those who want to have a look at the new Income Tax Bill, will have to wait some more. The Bill will be updated on Lok Sabha's official website in sometime. You can access the bill there.
New Income Tax Bill LIVE: FM urges LS Speaker to constitute Parliamentary Standing Committee
Sitharaman has asked the Lok Sabha speaker to create a standing committee that will review the newly tabled Income Tax Bill 2025.
New Income Tax Bill LIVE: FM Sitharaman presents the new Income Tax Bill 2025 in Lok Sabha
Finance Minister Nirmala Sitharaman has tabled the new Income Tax Bill 2025 in Lok Sabha. While presenting the new Bill, she said that substantial change shave been made in the new the Bill.
New Income Tax Bill LIVE: Difference between tax year and assessment year
The difference between tax year and assessment year, is just of terminology. What was known as assessment year till now, will be known as tax year, if the Bill is passed and becomes an Act.
Tax year will begin for a period of 12-months from April 1, 2026. It will replace the current concept of assessment year. The Bill is likely to be introduced in the Parliament by FM Nirmala Sitharaman at 2:00 pm.
New Income Tax Bill LIVE: What is the new Income Tax Bill?
The New Income Tax Bill replaces the 60-year-old Income Tax Act of 1961 and goes up to over 622 pages. Once passed, the proposed Bill will take effect in April 2026. The new I-T Bill was approved by the Union Cabinet on February 7. After it is passed in the Parliament, the bill will be sent to the Parliament's Standing Committee on Finance for further reviewing.
New Income Tax Bill LIVE: What time will FM Sitharaman present the new Bill?
Finance Minister Nirmala Sitharaman will table the new Income Tax Bill 2025 in the Lok Sabha today likely at 2:00 pm. Simultaneously in Rajya Sabha, the discussions will be resumed on the JPC report on Waqf Bill. The Rajya Sabha was adjourned till 2:00 pm following ruckus due to the JPC report.
New Income Tax Bill LIVE: What to look forward to in the new Income Tax Bill?
Apart from bringing in a simple, comprehensive language, salaried class can expect the new Income Tax Bill to reduce compliance burden, provided they assess the loss of deductions before opting for it. As of now, there are no major new tax changes in the new Bill. FM will be presenting the Bill in the Lok Sabha today.
New Income Tax Bill LIVE: What about Voluntary Retirement Scheme Payments?
The payments that are received under any voluntary retirement scheme is deductible, according to the copy of the new Bill that is circulating the internet. The payment will be deductible with a minimum amount of Rs 5,00,000 or as is stated by the Central Government.
New Income Tax Bill LIVE: What do experts have to say about the new I-T Bill?
Commenting on the new Income Tax Bill 2025, a copy of which was circulating on social media on Wednesday, industry experts feel that it clearly shows FM's intent of bringing a direct tax law which is easy to understand and hence, can help in enhancing tax compliance.
Read More here: Old wine in a new bottle with no significant changes, say tax experts
New Income Tax Bill LIVE: Are there any changes in the Income Tax Slabs?
It is unlikely that this Bill will present any major tax-related changes. Here's a look at the tax slabs that will come into force starting next financial year:
Up to Rs. 4,00,000: No tax
Rs. 4,00,001 - Rs. 8,00,000: 5% tax
Rs. 8,00,001 - Rs. 12,00,000: 10% tax
Rs. 12,00,001 - Rs. 16,00,000: 15% tax
Rs. 16,00,001 - Rs. 20,00,000: 20% tax
Rs. 20,00,001 - Rs. 24,00,000: 25% tax
Over Rs. 24,00,000: 30% tax
New Income Tax Bill LIVE: How much income will be tax free?
In the new proposed tax regime, individuals won't have to pay any tax if their total income is Rs 12 lakh or less. Previously, the same limit was set at Rs 7 lakh or below. Now, with the updated tax rates and a standard deduction of Rs 75,000, salaried taxpayers will not need to pay any tax if their income before the deduction is Rs 12,75,000 or less.
New Income Tax Bill LIVE: What is new in the new Income Tax Bill 2025?
The new Income Tax Bill has not introduced any new tax changes. There are no fundamental changes to the current regulations. However, the legal language has simplified as the legal disputes have been minimised due to simpler usage of language.
New Income Tax Bill 2025 Live Updates: Getting rid of redundant provisions
The new Income Tax Bill 2025 will remove the outdated provisions and enhance tax compliance via simpler language and shortening the length. Once the Bill is passed , it will create straightforward tax regulations that are much easy to comprehend. The legislation will replace the current Income Tax Act, 1961, which has numerous modifications done to it.
New Income Tax Bill 2025 Live Updates: Ruckus in Rajya Sabha over Waqf Bill, Will new I-T Bill tabling go smoothly?
Although there has been a significant ruckus in the Rajya Sabha over the JPC report on Waqf Bill, tax experts are now awaiting the tabling of the new Income Tax Bill in the Lok Sabha now. According to media reports, FM Nirmala Sitharaman is expected to table the Bill around 2-2:30 pm today. The drama is anticipated to continue in the Lok Sabha as well, following the Bill presentation by Sitharaman.
New Income Tax Bill 2025 Live Updates: How many pages does the new I-T Bill consist of?
The new Income Tax Bill 2025 spans 622 pages replacing the 60-year-old Income Tax Act of 1961. Once the Bill is passed, it will be called the Income Tax Act, 2025 and will come into force next year from April 1. The Bill also incudes 536 Sections and 16 Schedules.
New Income Tax Bill 2025 Live Updates: What is the objective of the new I-T Bill and What is expected?
The objective of the new Income Tax Bill is to make it easier to understand by reducing disputes, tax litigations. It will come into effect on April 1, 2026, and replace the old Income Tax Act of 1961. The new Bill has added virtual digital assets in property to be counted as a capital asset of the assessee. Also, other provisions have been included like TDS, presumptive taxation rates etc.
New Income Tax Bill 2025 Live Updates: Timing of tabling new I-T Bill in Lok Sabha
The Waqf Bill was tabled in the Rajya Sabha which led to quite an uproar in the House. The Rajya Sabha has now been adjourned till 2:00 pm. It is expected that FM Nirmala Sitharaman will table the new Income Tax Bill in Lok Sabha at around 2-2:30 pm. However, there has been no confirmation on the timing of exactly when the Bill will be tabled.
New Income Tax Bill 2025 Live Updates: Easier, shorter and better
The new Bill is going to be very precise and clear in its language. It has removed all the unnecessary provisions and made it simpler for the understanding of the common man. It is much shorter than the old Income Tax Act and is expected to be a game-changer in the future.
New Income Tax Bill 2025 Live Updates: What can CBDT expect from the new Income Tax Bill?
The CBDT is now expected to introduce tax compliance measures along with introducing tax compliance measures. In order to make tax governance more up and about, the new Bill is expected to empower the CBDT independently.
New Income Tax Bill 2025 Live Updates: First leg of Parliament Session to end today
The first leg of of the Parliament session is ending today. The second part will begin from March 10 and conclude on April 4. According to the agenda that was circulated by the Lok Sabha on Wednesday, FM Nirmala Sitharaman will be introducing the new Income Tax Bill, 2025 today in the Lok Sabha.
New Income Tax Bill 2025 Live Updates: Parliament Budget Session resumes
Both the Houses of the Parliament has resumed their proceedings. All are waiting in anticipation as Finance Minister Nirmala Sitharaman is likely to table the new Income Tax Bill today in Lok Sabha. Stay with us for further updates on the new Income Tax Bill.