Union Finance Minister Nirmala Sitharaman will introduce the revised Income tax Bill 2025 in the Lok Sabha today. It change the original draft tabled on February 13, 2025.
The earlier version was officially withdrawn, drawing criticism over the effort and time spent on its drafting. The government continues to pass legislation aimed at ensuring legislative transparency and performance.
Revised Income tax Bill 2025 Introduce today
Sitharaman said the clear draft contains technical corrections, including improved phrasing, drafting refinements, and better move-referencing. A key element behind the overhaul was the feedback from the Select Committee of Parliament, chaired by BJP MP Baijayant Panda.
Parliamentary Affairs Minister Kiren Rijiju rejected hints that the work had gone to waste. “When a parliamentary committee submits a file with numerous proposed amendments, and many are common, the standard practice is to withdraw the unique Bill and present a revised version,” he said.
He cited that adopting over 285 counseled modifications — such as 32 main ones — via the modification direction could have required 3 separate actions for every, making the method unviable. “Withdrawing and reintroducing the Bill saves time and guarantees procedural performance,” Rijiju sai.
What does new draft consists?
The new draft is expected to consists committee’s suggestions. Key provisions are
- Limiting anonymous donations completely to, in basic terms, non-secular trusts, apart from those engaged in social services.
- Allowing taxpayers to say TDS refunds after the ITR cut-off date without results.
- Mandating tax government to face notices and don’t forget responses before starting up action.
The Income tax Bill 2025 also proposes a latest, digital-first, faceless evaluation device to simplify compliance and reduce corruption. If enacted, the legislation will replace the 63-year-old Income-tax Act with a streamlined, litigation-resistant direct tax code — a reform the government calls one of the most formidable in recent years.
Read also: Income Tax Bill 2025 Officially Withdrawn, New Version Out Today