New Income Tax Bill 2025: Taxpayers who file returns late will also get tax refund, know what changes are going to happen

If you have missed the date of filing Income Tax Return (ITR), you will still be able to get tax refund. At present there is no such provision in the new bill. An important committee of Parliament has recommended major changes in the new Income Tax Bill-2025. Here is the report of the special correspondent…

New Income Tax Bill-2025: An important committee of Parliament has recommended major changes in the new Income Tax Bill-2025. The most important thing among these is that even if you have missed the date of filing Income Tax Return (ITR), you will still be able to get tax refund. At present, there is no such provision in the new bill.

What changes does the committee want?

1. Ease in TDS refund: People whose income is so low that they are not taxed, but still their TDS has been deducted, they should get full refund.

Such people will be able to get a refund by filling a simple form. Also, people will be able to get a “Zero TDS Certificate” so that their tax is not deducted at all.

2. Tax exemption on anonymous donations: Temples, mosques, gurudwaras or trusts running on donations will not have to pay tax on anonymous donations (such as money put in the donation box). The committee said that such organizations do not have “income” but “donations”. Therefore, tax on them is wrong.

3. Big relief to companies: If companies want to avoid tax on dividends received from other companies, they will get exemption. This exemption was there in the old law, which has been recommended to be included again in the new bill.

4. Good news for homeowners: If you have given your house on rent and have paid its municipal tax (house tax), then you will get full deduction. Those who have taken a loan on the house they are building now, will be able to take deduction of its interest, whether the house is rented or not.

Support to small businessmen and startups

The definition of MSMEs (small-medium enterprises) will be simplified. Startups will get additional tax exemption on their expensive research and development work. Special rules will be made to promote scientific research.

Why are these changes necessary?

This Lok Sabha committee (chaired by BJP MP Baijayant Panda) said that the new bill has come to simplify the tax system, but the needs of common people, religious institutions and small businessmen were not taken into account in it. The committee has included these suggestions in a 4584 page report on 32 issues. Now the government has to decide which of these suggestions it accepts.

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