Finance
Income tax bill 2025 withdrawn: The government will present an amended version of the Income Tax Bill, 2025, after Finance Minister Nirmala Sitharaman withdrew it from the Lok Sabha on Friday. In order to implement the modifications recommended by the Select Committee, the administration made this decision.
According to news agency PTI, which cited official sources, the majority of the Select Committee’s recommendations will probably be included in an amended version of the Income Tax Bill.
On Monday, August 11, the new version will be presented to the Lok Sabha.
Why was Income Tax bill withdrawn?
“To avoid confusion by multiple versions of the Bill and to provide a clear and updated version with all changes incorporated, the new version of the Income Tax Bill will be introduced for the consideration of the House on Monday,” sources said, according to PTI.
The six-decade-old Income Tax Act, 1961 will be replaced by the Income Tax Bill, which was tabled in the Lok Sabha on February 13 and immediately sent to the Select Committee for review.
What changes suggested to income tax bill
The BJP leader Baijayant Panda serves as the chair of the 31-member Select Committee. In addition to advocating for taxpayers to be able to claim their TDS refund after the ITR filing deadline without incurring any penalties, it is believed to have proposed a number of changes to the law, including a preference for maintaining the tax exemption on anonymous donations made to religious-cum-charitable trusts under the new law.
Non-profit organizations (NPOs) are excluded from paying taxes on anonymous donations received by exclusively religious trusts, according to the government’s new bill.
But according to the Bill, such donations will be taxed in accordance with the law if they are received by a religious trust that may also have other philanthropic purposes, such as managing hospitals and schools, PTI said.
Source: IE
