Budget 2025: Centre to introduce new income tax bill next week

In a significant policy move, Finance Minister Nirmala Sitharaman announced on Saturday that the government will introduce a new Income Tax Bill next week. Presenting the Budget 2025-26, the Finance Minister emphasised a "trust first, scrutinise later" approach by the Income Tax Department under the new Income Tax Code.

Key Announcements in Budget 2025-26:

• FDI in Insurance Sector: The Foreign Direct Investment (FDI) limit for the insurance sector will be raised to 100%, benefiting companies that invest the entire premium within India.
• Tax Reforms: The government has previously implemented faceless assessments, faster tax returns, and five ‘Vivad Se Vishwas’ schemes to simplify tax compliance.
• Corporate Mergers: Speedy approvals for company mergers will be ensured, with an expansion of relevant regulations to streamline the process.
• Ease of Doing Business: The government is committed to a modern, trust-based regulatory framework to enhance business-friendly policies.
• Export Promotion Mission: A dedicated ‘Export Promotion Mission’ with sectoral and ministerial targets has been launched to boost global trade.
• Digital Trade Infrastructure: A digital public infrastructure for international trade will be developed to provide financing solutions and enhance India's integration into global supply chains.
• Jan Vishwas Bill 2.0: The government will introduce this bill to decriminalise over 100 provisions and further improve India’s investment climate.
• Investment-Friendly Index: A new state-wise investment-friendly index will be launched this year to encourage business expansion.

Parliamentary Budget Session

The Budget Session of Parliament, which began on January 31, will be conducted in two phases. The first phase will conclude on February 13, while the second will take place from March 10 to April 4.