Lok Sabha Select Committee on New Income Tax Bill

• On February 13, 2025, the Income-Tax Bill, 2025 was introduced to the Lok Sabha.
• The bill is intended to replace the 1961 Income-Tax Act by simplifying the language, and removing unneeded sections, while keeping the majority of the original act.

Formation:

• A 31-member Select Committee has been established by the Lok Sabha Speaker.

Chairmanship & Composition:

• Chaired by BJP MP Baijayant Jay Panda, with 17 members from the ruling National Democratic Alliance.

Mandate:

• To examine the new Income Tax Bill and submit its report by the first day of the Monsoon session.

New Income Tax Bill Overview:

• Aims to modernize the tax structure by simplifying compliance procedures, revising tax slabs, and enhancing digital administration.
• Expected to streamline tax processes, widen the tax base, and improve revenue generation.