The Union Cabinet on Friday approved the Income Tax Bill, aiming to simplify the tax system for ordinary citizens. The bill is designed to make tax filing easier, reduce disputes, and help taxpayers navigate the process with fewer complications.
According to government sources, the new bill will be a significant improvement for taxpayers. It promises to offer a more efficient and user-friendly approach to filing taxes, minimising the need for lengthy litigation. The bill seeks to streamline the tax process and avoid the current system's complexity, making life easier for those paying taxes.
The approval of this bill is part of the government's ongoing efforts to reform the country's tax system. Finance Minister Nirmala Sitharaman had previously announced in her Budget speech that a new income tax bill would be introduced. She stated that the bill would be "clear and direct", in contrast to the current Income Tax Act of 1961, which has long sentences, provisos, and complex explanations.
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The government intends to replace the old Income Tax Act with the new legislation, which will be more straightforward and easier to understand. By removing unnecessary legal jargon, the new bill aims to reduce confusion and make it more accessible to taxpayers.
One of the key objectives of the bill is to make the tax system more efficient and taxpayer-friendly. Officials say that the changes will reduce the number of legal disputes and complications that often arise when filing taxes. The new bill is expected to benefit both individual taxpayers and businesses by simplifying the process and promoting better compliance.
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