New Delhi, Feb. 15 -- The Income-Tax Bill 2025 was introduced in Lok Sabha on 13 February to replace the existing Act. This bill does not propose radical changes like the Draft Direct Taxes Code Bill of 2009, nor does it introduce any new taxes or spring any surprises. It essentially retains the existing Act in substance, simplified for the ease of reading and interpretation, with all related sections regrouped and redundant ones removed. As a result, the Bill is about half the size of the Income-Tax Act, 1961 (I-T Act), as subsections and provisos have been deleted and the archaic language replaced with contemporary terms such as "tax year" for "previous year".

India is among the many countries trying to simplify its tax laws to reduce ...