Select committee suggests 285 tweaks to new I-T Bill

Panel to present its report in Lok Sabha on first day of monsoon session

- MONIKA YADAV & ARCHIS MOHAN

Dropping of provision that denies refunds if returns are filed after the due date and reinstatement of the inter-corporate dividend deduction were among the 285 suggestions made by the select committee of Lok Sabha examining the Income Tax Bill, 2025 — which was adopted on Wednesday. The Income Tax Bill, 2025, will replace the Income Tax Act, 1961. The government aims to implement the new Income Tax law from April 1, 2026.

Overall, the committee has recommended about 285 changes, most of which involved simplifying the language of the draft legislation. The committee will present its report in the Lok Sabha on July 21, the first day of the Monsoon session.

The committee, headed by Bharatiya Janata Party (BJP) Lok Sabha member Baijayant Panda, has suggested the removal of a controversial provision that denies refunds if returns are filed after the due date.