NEW DELHI, 6 FEB

The forthcoming income tax bill, poised for presentation in Parliament next week, will feature a markedly simplified language, devoid of lengthy sentences, provisos, and convoluted explanations, according to Finance Secretary Tuhin Kanta Pandey.

The proposed legislation, intended to replace the six-decade-old Income Tax Act, is expected to be reviewed at an upcoming Cabinet meeting on Friday, as per sources. Announced by Finance Minister Nirmala Sitharaman during her Budget address, the new bill will also integrate adjustments made to income tax rates, slabs, and TDS provisions set forth in the Budget for 2025-26.

"When you see the new income tax Bill next week, it will be distinctly different. The approach to drafting laws is evolving… You will notice a significant reduction in long sentences, and likely the absence of provisos and explanations," Pandey stated at a PHD Chambers event.

He affirmed that the new bill would not impose any new taxes or burdens on taxpayers, emphasising that the policy would remain largely stable to avoid creating any uncertainty.

Pandey highlighted the bill's goal of simplicity, insisting that legal provisions should be accessible to all citizens, not just legal professionals. Drafted within a six-month timeframe, the new law aims to streamline the language for better clarity and understanding among taxpayers, while also eliminating outdated provisions to create a more concise document.