Report of the Select Committee on the Income-tax Bill, 2025

In brief

The Income-tax Bill, 2025 (Bill), was introduced in the Lok Sabha on 13 February 2025 with the objective of replacing the Income-tax Act, 1961 (the Act). The Bill is proposed to come into effect from 1 April 2026. Following its introduction, a 31-member Select Committee of the Lok Sabha was constituted to examine the Bill in detail. The committee has now submitted its report¹, recommending many changes to the draft legislation. These include correction of drafting inconsistencies, removal of ambiguities and improvements to language and structure. The committee’s recommendations are currently under review, and the revised Bill is expected to be taken up for discussion in the ongoing monsoon session of the Parliament.