​The Finance Bill, 2025, introduced in India's Union Budget, brings several significant amendments to the Income-tax Act, 1961. Here's an overview of the key changes

 ​The Finance Bill, 2025, introduced in India's Union Budget, brings several significant amendments to the Income-tax Act, 1961. Here's an overview of the key changes:​India Budget+2KPMG+2Income Tax India+2

Revised Income Tax Slabs

The new tax regime has updated income tax slabs to provide relief to taxpayers:​India Briefing+2Wikipedia+2Business Today+2

• Income up to ₹4 lakh: Nil​

• ₹4 lakh to ₹8 lakh: 5%​www.ndtv.com+4ClearTax+4AP News+4

• ₹8 lakh to ₹12 lakh: 10%​ClearTax

• ₹12 lakh to ₹16 lakh: 15%​

• ₹16 lakh to ₹20 lakh: 20%​Reuters+8ClearTax+8Wikipedia+8

• ₹20 lakh to ₹24 lakh: 25%​Business Today+15Income Tax India+15Wikipedia+15

• Above ₹24 lakh: 30%​

Additionally, the standard deduction has been increased from ₹50,000 to ₹75,000. This means individuals earning up to ₹12.75 lakh annually (including the standard deduction) will not have any tax liability under the new regime. ​Business Today+5Wikipedia+5India Briefing+5

Tax Deduction at Source (TDS) and Tax Collection at Source (TCS) Adjustments

• Senior Citizens: The TDS exemption limit on interest income has been raised from ₹50,000 to ₹1 lakh, benefiting senior citizens with higher interest earnings.​Wikipedia

• Rental Income: The annual TDS threshold on rental income has increased from ₹2.4 lakh to ₹6 lakh, reducing compliance burdens for landlords. ​Wikipedia

Tax Exemptions and Deductions

• National Savings Scheme (NSS): Withdrawals made from NSS accounts on or after August 29, 2024, are now exempt from tax, encouraging long-term savings. ​Wikipedia

Filing of Income Tax Returns

• Extended Deadline: The time limit to file updated income tax returns has been extended from two years to four years, providing taxpayers with more flexibility to correct or update their filings. ​Wikipedia

Removal of Equalisation Levy

The government plans to remove the 6% equalisation levy on digital advertisements, which primarily affects foreign tech companies. This move aims to address international concerns and foster better trade relations. ​Reuters

Introduction of the Income-tax Bill, 2025

A new Income-tax Bill has been introduced to simplify the existing tax laws and reduce compliance burdens. This bill is expected to overhaul the current tax framework, making it more taxpayer-friendly. ​Reuters+2Wikipedia+2Income Tax India+2

These amendments reflect the government's commitment to simplifying the tax system, providing relief to taxpayers, and promoting economic growth. For detailed information, refer to the official Finance Bill, 2025 document.