Bhubaneswar, Feb. 1 -- Union Finance Minister Nirmala Sitharaman on Saturday announced sweeping changes to India's income tax framework, with a strong emphasis on easing TDS and TCS compliance, reducing litigation and improving ease of living for taxpayers.

Presenting the Union Budget 2026-27 in Parliament, Sitharaman said the comprehensive review of the Income Tax Act, 1961, announced in July 2024, has been completed in record time. The Income Tax Act, 2025 will come into force from April 1, 2026. She added that simplified income tax rules and redesigned forms will be notified shortly, giving taxpayers adequate time to familiarise themselves with the new system. The redesigned forms, she said, will enable ordinary citizens to comply wit...