New Delhi: Finance Minister Nirmala Sitharaman introduced the Income Tax Bill 2025 in the Lok Sabha on Wednesday, aiming to simplify tax laws and make them more accessible to taxpayers. However, the bill’s introduction sparked a walkout by several Opposition MPs, though the exact number remains unclear.
Defending the new bill against criticism from Opposition MP NK Premachandran, Sitharaman clarified that the legislation seeks to streamline India’s tax structure. “The Income Tax Act 1961 initially had 298 sections, but over time, it grew to 819 sections. We are now reducing it to 536,” she explained.
Addressing TMC MP Sougata Ray’s concerns that the bill introduces only “mechanical changes,” Sitharaman countered, saying, “Substantial changes are being made. The number of words has been cut by half, and the law is now in plain English and Hindi.”
She further proposed sending the bill to a newly-constituted Select House Committee, with terms and conditions to be decided by Speaker Om Birla.
With over 4,000 amendments made to the 1961 act since its inception, Sitharaman asserted that the revised bill marks a significant step toward a simplified and transparent tax regime.
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