“I congratulate the Finance Minister for introducing the New Income Tax Bill, and I say new because the existing Bill dates back to 1961. 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. 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,” Deora who is a Rajya Sabha MP told at Parliament premises.
Highlighting that the 6-decade old IT Bill has many archaic provisions which have been amended by the entre before, Deora said that this bill will promote MSMEs in and larger foreign companies alike while also reduce the burden on the individual taxpayer.
“There are many ways the govt has already reformed the existing bill, but this bill is in some ways repurposing the old bills and amendments and bringing in together a new bill. Once this bill is passed by the Parliament, hopefully in this session, the law of the land for small companies, for MSMEs, for large foreign companies who want to bring Foreign Direct Investment, and most importantly, for the average tax payer will make things, assessment process much simpler, and reduce litigation so that the individual tax payer doesn’t have to go to court and litigate,” Deora added.
The Rajya Sabha MP further highlighted how the government sent the bill to a Select Committee instead of the Finance Committee to examine and give recommendations in a time bound manner.
Talking about the Manipur Goods and Services Tax (Amendment) Bill 2025, the RS MP mentioned that the bill aims to bring every state in India, whether Manipur or Kashmir, into the mainstream by having a unified common market for the country. This move, he says, will enable investors to see the different attractive regions. “Any part of India, whether it is northeast like Manipur or in north, Kashmir, our objective is to bring every state into the mainstream, that is what the demand of every state. Whether people in Manipur or Kashmir, they want to be in the mainstream. We should create a common market in the country, that is exactly what GST proposes to do, that’s how a common market will be created from the north to the south,” he said. Deora added, “That’s what will make different regions attractive to investors. They have already made a difference to a region like Kashmir. I have no doubt that a unified, common market is always good for the country.”
The proposed IT bill has 23 chapters and 536 provisions, a huge reduction from the earlier 47 chapters and 819 provisions from the 1961 bill.
Earlier on July 21, Select Committee on Income Tax Bill Chairperson and Bharatiya Janata Party MP Baijyant Panda presented the 4,584 pages Report of the Select Committee on the Income-Tax Bill, 2025 in the Lok Sabha. The 31-member committee had unanimously adopted the report during the meeting held earlier.
After comprehensive deliberations, the Committee submitted 285 recommendations focused on simplifying the tax regime and making the Income Tax legislation simplified and lucid.
The Committee in its report identified several drafting corrections based on stakeholder suggestions, which they believe are essential for clarity and unambiguous interpretation of the new bill. The parliamentary panel has made a total of 566 suggestions/recommendations in its report.
Content Source: economictimes.indiatimes.com