New Delhi, Feb. 13 -- The Income-Tax Bill, 2025 tabled in Parliament on Thursday, marks a significant step toward simplifying the language and structure of the Income-tax Act, 1961 based on global best practices, according to a statement issued by the Finance Ministry.

The review has led to a substantial reduction in the Act's volume, making it more streamlined and navigable. The total number of words in the new Income Tax Bill has been reduced to 259,676 in the new Income Tax Bill from a massive 512,535 words in the existing Income Tax Act, 1961. This close to 50 per cent cut has resulted in a reduction of 252,859 words, the statement said.

Accordingly, the number of chapters in the new Income Tax Bill has come down to 23 from 47 in th...