New Income Tax Bill: 10 important topics in new income tax bill including tax year; More easily tax system

New Income Tax Bill: New Income Tax Act will be implemented soon. Union Finance Minister Nirmala Sitarman will introduce a new bill in Parliament on Thursday. Analysts believe that the draft bill is simple and easy to understand. He said that there was no strict vocabulary in the new law and it was easy to understand the rules. “The new tax system is a default option. Therefore, the taxpayers who want to select the old tax system will have to withdraw from the new policy, ”said CA Chirag Chauhan, Mumbai’s Chartered Accountant.

Major elements of new IT bill

1. Low page: The revised Income Tax Act 1961 had 823 pages in 2024, while the new Income Tax Bill was 622 pages. So it is less than 201 pages.

2. Number of classes: The bill has 536 sections, 23 chapters and 16 schedules. Despite more classes, there are less details and rules.

3. standing Committee: Once it is introduced in Parliament, it will be sent to the Finance Parliamentary Standing Committee. Later, it begins consultation with relevant individuals and organizations.

4. Tax audit: There will be a limit under the newly determined income tax range. Now the tax audit is applicable between this limit.

5. Border: The limit of 44 AAD for business has increased from Rs 2 crore to Rs 3 crore and professionals have been increased from Rs 50 lakh to Rs 75 lakh.

6. Last dates: Tax audit filing date has been extended from 30 September to 31 October and the last date for tax income tax filing from 31 October to 30 November.

7. Cass audit: There is speculation in the past that the tax audit range will also be expanded to CS and CMA. But according to Section 515 (3) (B), accountant means a chartered accountant. It was provided to the CA community.

8. tax year: Unlike the concept of previous year, the assessment year, now it is now known as a simple tax year or tax year. This makes it easy for the general public to understand tax ecology.

9. capital gains: Long Term Capital Gains (LTCG) and Short Term Capital Gain (STCG) are similar to last year.

10. Digital transaction: There is an incentive of up to Rs 10 crore for digital transactions with audit relief.