Income Tax Bill, 2025 withdrawn and set to be reintroduced with revised version on August 11 in the Parliament

The Central Government on Friday withdrew the Income Tax bill, 2025 on August 8. The Income Tax
Bill was originally introduced on February 13 of this year during the Budget Session, which seeks to
replace the decades old Income Tax Act, 1961.

According to sources, the Government seeks to re-introduce the Income Tax Bill with revision as
suggested by the BJP MP Baijayant Panda-led Select Committee of Lok Sabha. The revised version of
the Bill is expected to be introduced in Parliament on August 11.
The BJP MP Baijayant Panda-led Select Committee submitted its report in the Lok Sabha on July 21.
According to the sources, the core structure of the Income Tax Bill 2025 is said to be retained with
Technical and procedural changes being incorporated from the inputs shared by the select
committee and from other sources.
Important changed suggested by the Select committee include allowing taxpayers to claim TDS
refund even after due date of filing Income tax return without penal charges and continuation of Tax
exemption for anonymoun donations made to religious-cum- charitable trusts.