New Revenue Tax invoice halves phrase depend, eases compliance: Chairman of the Finance Choose Committee, Baijayant Jay Panda

BJP Member of Parliament and Chairman of the Finance Choose Committee, Baijayant Jay Panda on Tuesday mirrored upon the continued simplification of India's tax legal guidelines, said that the newly proposed Revenue Tax Invoice goals to make compliance simpler for taxpayers with out altering tax insurance policies or charges.

Talking in regards to the legislative overhaul, Panda mentioned the brand new draft invoice reduces the phrase depend of the Revenue Tax Act by practically 50 per cent, from round 5 lakh phrases to 2.5 lakh. “Beneath PM Modi, lots of the very out of date legal guidelines have been overhauled over the past 11 years. In keeping with this, Finance Minister Nirmala Sitharaman had mentioned final 12 months that the Revenue Tax can be going to be overhauled for simplification,” he mentioned.

“The Ministry had labored on it and offered to Parliament few months in the past – a easy model of New Revenue Tax Invoice the place the phrase depend has been lowered by 50 per cent, from 5 lakh-odd phrases to about 2.5 lakh phrases…Quite simple formulae and tables have been given in order that it turns into less complicated,” he additional added.
Panda additionally highlighted the motive behind this transfer. “Our mandate was to not change the tax coverage or to alter the tax charges, it was to ensure that the Act turns into easy,” Panda clarified.

Panda offered the report of the Choose Committee on the brand new Revenue-Tax Invoice in Lok Sabha on Monday with its suggestions.

Just lately, the report of the parliamentary panel on the brand new Revenue-Tax Invoice was offered in Lok Sabha. In its report, the panel has urged vital modifications to tighten definitions, take away ambiguities, and align the brand new regulation with current frameworks. The panel examined the Revenue-Tax Invoice 2025, which seeks to simplify the language and construction of the Revenue Tax Act 1961 and submitted its report.The Revenue-Tax Invoice, 2025, was tabled in Parliament in February and was referred to the Choose Committee for an in depth examination.

The Committee, in its 4,584-page report, recognized a number of drafting corrections based mostly on stakeholder ideas, which they imagine are important for readability and unambiguous interpretation of the brand new invoice. The parliamentary panel has made a complete of 566 ideas/suggestions in its report.