By Admin 
The central government has withdrawn the income tax bill in the Lok Sabha. The government will now bring a new bill instead. After the table in the Lok Sabha in February 2025, it was sent to the Select Committee. The government will now bring a new bill to accept all the suggestions of the Select Committee.
When will the updated version of the bill be introduced in Parliament?
The central government introduced this new bill in the Lok Sabha on 13 February 2025 and sent it to the Select Committee for investigation on the same day. The committee submitted its report to Parliament on 22 July 2025. The updated version of the new income tax bill has been approved in the central government cabinet. This bill will now be introduced in Lok Sabha on Monday (11 August 2025).
Will there be any change in tax slab too?
This bill will replace the 6 decade -old Income Tax Act 1961. The Select Committee, led by BJP MP Baijayant Panda, has made several amendments after reviewing it. The biggest question about the new income tax bill is about the slab.
The Income Tax Department had made it clear that there is no proposal for any change regarding tax slab in the new bill. According to the Income Tax Department, the aim of the new bill is to simplify the language and remove the unnecessary provisions.
Bill was withdrawn after approval from Parliament
Finance Minister Nirmala Sitharaman sought permission to withdraw the Income Tax Bill, 2025 as per the report of the Selection Committee, amidst the noise of the members of the opposition parties on the issue of special intensive revision (SIR) of the voter list in Bihar. After the approval of the House, he withdrew the Income Tax Bill.
The Select Committee suggested that taxpayers should be allowed to claim TDS refund without any penal charge even after the last date for filing ITR.
Also read: India-Pakistan Border: Pakistan is spying on India? Drone entered the Indian border created a stir