The government aims to make the Income-tax Act, 1961, concise and easy to understand. The goal is to ensure taxpayers can easily navigate tax laws without confusion.
During the Union Budget 2024-25, Finance Minister Nirmala Sitharaman highlighted the government’s ongoing efforts to simplify tax laws. A comprehensive review of the Income-tax Act has been announced, with a target completion timeline of six months.
The Central Board of Direct Taxes (CBDT) has formed an internal committee to oversee the review and has invited public suggestions through a newly launched webpage on the e-filing portal. This move aims to foster transparency and community engagement in shaping tax policy.
The government’s push for a revamped income tax regime is expected to lead to increased revenue collections and enhanced taxpayer satisfaction. With robust growth in tax revenue already observed, these reforms will likely further strengthen the Indian economy.