Revised Income Tax Bill 2025: 10 Key Changes Proposed

By Sheetal Kumari | March 3, 2025 Moneycontrol PF Team| Aug 12, 2025

Report Presented in Lok Sabha

(Image: Canva) (Image: Canva) (Image: Canva) Select Committee’s report on New Income Tax Bill tabled on July 21 with major change suggestions. (Image: Canva)

Focus on Simplification

(Image: Canva) (Image: Canva) (Image: Canva) 285 recommendations aim to make the tax regime simpler, clearer, and easy to interpret. (Image: Canva)

Drafting Corrections

(Image: Canva) (Image: Canva) (Image: Canva) Panel suggested multiple corrections to remove ambiguities based on stakeholder feedback. (Image: Canva)

Massive 4,584-Page Report

(Image: Canva) (Image: Canva) (Image: Canva) Total of 566 recommendations made in the exhaustive parliamentary panel document. (Image: Canva)

Refund Eligibility Change

(Image: Canva) (Image: Canva) (Image: Canva) Recommendation to remove rule that denies refund if ITR is filed after the due date. (Image: Canva)

Section 80M Deduction Update

(Image: Canva) (Image: Canva) (Image: Canva) Change in clause 148 to extend inter-corporate dividend deduction to firms under section 115BAA. (Image: Canva)

NIL TDS Certificate

(Image: Canva) (Image: Canva) (Image: Canva) Suggestion to allow taxpayers to avail NIL TDS certificate for eligible cases. (Image: Canva)

No Change in Tax Rates

(Image: Canva) (Image: Canva) (Image: Canva) IT Dept clarifies — no LTCG tax rate changes recommended in the report. (Image: Canva)

MSME Definition Alignment

(Image: Canva) (Image: Canva) (Image: Canva) Proposal to align micro and small enterprise definitions with the MSME Act. (Image: Canva)

Other Key Amendments

(Image: Canva) (Image: Canva) (Image: Canva) Clarity sought on advance ruling fees, PF TDS, low-tax certificates, and penalty powers. (Image: Canva)

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