New Income Tax Bill: Small businessmen and professionals have been given relief in the new Income Tax law. Now, those with annual turnover up to Rs 5 crore will be exempted from tax audit.
New Income Tax Bill: Small businessmen and professionals have been given relief in the new Income Tax law. Now, tax audit exemption will be given for those with annual turnover up to Rs 5 crore. The tax audit limit for professionals has also been increased from Rs 50 lakh to Rs 1 crore annually. Digital tax filing and faceless processing have also been made easier.
The verification process has been completely digitalized by removing manual checks. Now taxpayers will be able to verify their returns before filing tax returns. Not only this, if someone files a misleading and incorrect income tax return, then a heavy penalty will also be imposed on him.
The last date for submission of tax audit report has also been extended. Now the last date has been extended from 30 September to 31 October. Not only this, the last date for filing returns in case of tax audit has been extended from 31 October to 30 November.
New bill to be introduced on Thursday
The government may introduce the new Income Tax Bill 2025 in Parliament tomorrow on Thursday. This new bill is contained in 622 pages with 536 sections and 23 chapters and will replace the six-decade-old Income Tax Act, 1961.
‘Previous Year’ will now be ‘Tax Year’
In the new bill, the word ‘Previous Year’ has been removed and changed to ‘Tax Year’. Earlier, where tax had to be paid in the assessment year (eg 2024-25) on the income of the previous year (eg 2023-24), now this complexity has been eliminated.
