New income tax bill will come next week, Finance Minister announced

New Delhi (The Uttam Hindu): Finance Minister Nirmala Sitharaman while presenting her eighth budget on Saturday said that the new tax bill will be introduced in the House next week. Under this bill, changes will be implemented in direct tax from 2025 and it will replace the current Income Tax Act, 1961.

Under the new tax system, emphasis has been laid on simplifying tax provisions, removing unnecessary sections and making the language easy for the common citizen. Experts believe that this will make tax laws easier to understand, reduce legal disputes and make the overall system more convenient for taxpayers than before.

This is the third time an attempt is being made to re-draft the Income Tax Act. Earlier, the Direct Tax Code Bill was introduced in 2010, after which the Modi government constituted a committee of experts. However, the committee's report was not made public at that time and neither were the recommendations implemented.

There are plans to remove thousands of provisions under the new law, as well as eliminate sections that are no longer relevant. The committee has been instructed to prepare it in such a way that it is easy for common citizens to understand. Currently, the government is not considering plans to include new subjects.