Govt Withdraws Income Tax Bill, To Table Updated Version on Aug 11
New Delhi, Aug 8: Finance Minister Nirmala Sitharaman on Friday withdrew the Income Tax Bill, 2025 in the Lok Sabha, stating that the government will introduce a revised version incorporating suggestions made by the Select Committee.
The updated Income Tax Bill is scheduled to be tabled on August 11. According to official sources, the new version will include most of the recommendations made by the 31-member Select Committee chaired by Baijayant Panda.
“To avoid confusion due to multiple versions and to present a consolidated and updated draft, the government has decided to introduce a fresh Bill,” sources added.
The original Bill, aimed at replacing the Income Tax Act of 1961, was introduced in Parliament on February 13 and later referred to the Select Committee for detailed examination.
Key recommendations included retaining tax exemptions on anonymous donations to purely religious trusts, while donations to religious-cum-charitable trusts will be taxed under specific provisions.
The panel also suggested that taxpayers should be allowed to claim TDS refunds even after the ITR deadline without attracting penalties.
The new version of the Bill is expected to streamline taxation laws, simplify compliance, and address the concerns raised by stakeholders and lawmakers alike.
