Kumar Bahukhandi
Finance Minister Nirmala Sitharaman. – Photo: PTI
Finance Bill 2025: The Finance Bill 2025 was passed by the Lok Sabha on Tuesday after 35 government amendments. Finance Minister Nirmala Sitharaman described the bill as an unprecedented tax relief for taxpayers. Speaking in the Lok Sabha, the Finance Minister said that the middle class and businesses are expected to get relief through this bill.
The Lok Sabha passed the Finance Bill 2025 after incorporating 35 government amendments. Earlier, Finance Minister Nirmala Sitharaman described the Finance Bill 2025 as an unprecedented tax relief for taxpayers. Speaking in the Lok Sabha, the Finance Minister said that the middle class and businesses are expected to get relief through this bill.
Meanwhile, Finance Minister Nirmala Sitharaman hinted at important tax reforms in the Lok Sabha on Monday March 24, 2025 . She said that the equalization fee on online advertisements will be abolished to overcome international economic uncertainty. Along with this, the Finance Minister said that despite the revenue loss of Rs 1 lakh crore, the estimate of 13.14% growth in personal income tax collection in 2025-26 is realistic.
The new Income Tax Bill will be discussed during the Monsoon Session of Parliament
Sitharaman also said that rational changes in customs duty will boost manufacturing in the country, boost exports and provide relief to the general public from inflation. She informed that the new Income Tax Bill will be discussed in the next Monsoon Session of Parliament. Responding to the discussion on the Finance Bill 2025 in the Lok Sabha, Sitharaman said that the new Income Tax Bill, which was introduced in the House on February 13, is currently being examined by the Select Committee.
The Select Committee has been directed to submit its report by the first day of the next session of Parliament. Sitharaman said, “…we will bring it (the new Income Tax Bill) in the Monsoon Session.” The Monsoon Session of Parliament is usually held in July and runs till August.
The Finance Minister shared information related to the new bill
The Income Tax Department had earlier said that the simplified Income Tax Bill, which is half of the Income Tax Act of 1961, seeks to achieve tax certainty by reducing the scope for litigation and new interpretation. The number of words in the new bill is 2.6 lakh, down from 5.12 lakh in the IT Act. It has 536 sections as against 819 sections in the current law. The number of chapters has also been halved from 47 to 23.
The Income Tax Bill 2025 has 57 tables as against 18 tables in the current Act and 1,200 provisions and 900 explanations have been removed.
