The government has withdrawn the Income Tax Bill 2025 introduced in February.

By Aniket Chakraborty Aug 12, 2025 Arrow INDIA NEWS

A revised version will be tabled in Lok Sabha on August 11.

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The update adopts most of the 285 recommendations from a select committee.

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Focus is on simplifying the law’s language and removing redundancies.

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Late ITR filers will still be eligible for tax refunds under the new draft.

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Section 80M deduction for inter-corporate dividends is restored.

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Nil TDS certificates will be allowed under certain conditions.

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Anonymous donations to purely religious trusts will be tax-exempt.

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The Bill pushes for a fully digital, automated, and faceless tax process.

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Expected to replace the 1961 Act and improve taxpayer convenience.

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