In a post on the social media platform X, the Income Tax Department informed, “There are news articles circulating on various media platforms that the new Income Tax Bill, 2025 proposes to change tax rates on LTCG for certain categories of taxpayers. It is clarified that the Income Tax Bill, 2025 aims at language simplification and removal of redundant/obsolete provisions.”
The department added, “It does not seek to change any rates of taxes. Any ambiguity in this respect shall be duly addressed during the passing of the Bill.”
Income Tax Bill 2025
The new Income Tax Bill of 2025 was presented in Parliament in February and subsequently forwarded to a parliamentary committee. The committee submitted its recommendations regarding the bill to Parliament on July 21.
The proposed Income Tax bill aims to enhance ease of doing business, lessen individual taxpayers’ litigation burdens, and boost confidence for both small and large investors to Make in India and create jobs, member of select committee of Parliament Milind Deora said on Friday.
“This bill has seen several amendments. The government’s objective, which is the right idea, is that this bill which is over 60 years old and has so many amendments to do away with that bill and replace it with a new, fresh bill is a new idea,” Deora said.
“I think that step on its own and intent will leader of reduced harassment, improve ease of doing business and will give investments to Make in India, invest in India and to create jobs,” he added.
Deora highlighted that the 60-year-old IT Bill contains many outdated provisions which have been previously amended. He stated that this bill will benefit both MSMEs and larger foreign companies, while also easing the burden on individual taxpayers.
The proposed income tax bill contains 23 chapters and 536 provisions, a significant reduction from the previous 47 chapters and 819 provisions in the 1961 bill.
(With inputs from agencies.)
