{"id":96,"date":"2025-07-21T22:39:07","date_gmt":"2025-07-21T17:09:07","guid":{"rendered":"https:\/\/ibleboom.com\/blog\/?p=96"},"modified":"2025-07-25T18:53:50","modified_gmt":"2025-07-25T13:23:50","slug":"96-2","status":"publish","type":"post","link":"https:\/\/ibleboom.com\/blog\/96-2\/","title":{"rendered":"Key changes proposed in the Income Tax Bill, 2025 compared to the existing Income Tax Act, 1961:"},"content":{"rendered":"\n

<\/p>\n\n\n\n

\n\n\n\n

\ud83d\udd11 Key Highlights of the Income Tax Bill, 2025 (ITB 2025)<\/strong><\/h3>\n\n\n\n
    \n
  1. “Tax Year” Replaces “Previous Year”<\/strong>
    The term \u201cassessment year\u201d is removed and replaced by \u201ctax year\u201d for simplification.<\/li>\n\n\n\n
  2. Royalty Income Clarification<\/strong>
    Taxation of royalties by non-residents mistakenly mentions income from sources “outside India”\u2014likely a drafting error.<\/li>\n\n\n\n
  3. Tax Payments Not Deductible<\/strong>
    Taxes paid on income, including cess and surcharge, are clearly disallowed as business expenses.<\/li>\n\n\n\n
  4. Presumptive Taxation for Non-Residents<\/strong>
    Introduced for non-residents offering technology\/services for electronics manufacturing\u201425% of receipts deemed taxable.<\/li>\n\n\n\n
  5. Books & Audit Mandatory<\/strong>
    Even under presumptive taxation, non-residents must maintain books and get audits done.<\/li>\n\n\n\n
  6. Special Schemes for Shipping, Aviation, Construction<\/strong>
    Presumptive income rules apply, but no set-off of losses or deductions is allowed.<\/li>\n\n\n\n
  7. Capital Gains Changes<\/strong>
    Exemption under Section 85 may no longer apply to depreciable assets; long-term capital loss carryforward rules are retained with transition provisions.<\/li>\n\n\n\n
  8. Tax Treaties Interpretation Updated<\/strong>
    If a term is undefined in treaties or ITB, it will follow definitions from Indian tax or other laws.<\/li>\n\n\n\n
  9. Shareholding Rule Tightened for Loss Set-Off<\/strong>
    If 51% shareholding changes between loss year and set-off year, losses can\u2019t be carried forward.<\/li>\n\n\n\n
  10. LTCG for Non-Residents<\/strong>
    Now includes foreign exchange benefit; tax rate is 12.5% from July 23, 2024.<\/li>\n\n\n\n
  11. Refunds<\/strong>
    Can only be claimed if return is filed before the due date.<\/li>\n\n\n\n
  12. Company Tax Rates (22% \/ 15%)<\/strong>
    Deduction for inter-corporate dividends removed under 22% regime, retained under 15%.<\/li>\n\n\n\n
  13. DRP Directions<\/strong>
    Now must be reasoned orders but aren\u2019t required to consider taxpayer evidence.<\/li>\n\n\n\n
  14. Lower TDS Certificates<\/strong>
    Broader scope; nil rate removed; AOs can cancel after hearing.<\/li>\n<\/ol>\n\n\n\n
    \n\n\n\n

    above points are the brief summary of proposed Income tax bill…for more you can make an enquiry on admin@ibleboom.com<\/p>\n\n\n\n

    Avinash Bhatt
    Email: Bhattavi93@gmail.com<\/strong><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

    \ud83d\udd11 Key Highlights of the Income Tax Bill, 2025 (ITB 2025) above points are the brief summary of proposed Income tax bill…for more you can make an enquiry on admin@ibleboom.com Avinash BhattEmail: Bhattavi93@gmail.com<\/p>\n","protected":false},"author":1,"featured_media":75,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[250,247,261,257,263,251,248,265,260,256,254,264,253,249,258,262,255,252,259],"class_list":["post-96","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-capital-gains-tax-india-2025","tag-changes-in-income-tax-2025","tag-corporate-tax-changes-india","tag-drp-directions-income-tax","tag-foreign-company-taxation-india","tag-income-tax-act-1961-vs-2025","tag-income-tax-bill-2025","tag-income-tax-refund-rules-2025","tag-india-income-tax-update-2025","tag-itb-2025-summary","tag-long-term-capital-gains-india","tag-new-income-tax-regime-india","tag-non-resident-taxation-india","tag-presumptive-taxation-india","tag-section-54ec-changes","tag-shareholding-loss-carry-forward","tag-tax-audit-new-rules","tag-tax-year-vs-previous-year","tag-tds-certificate-rules"],"_links":{"self":[{"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/posts\/96","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/comments?post=96"}],"version-history":[{"count":3,"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/posts\/96\/revisions"}],"predecessor-version":[{"id":141,"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/posts\/96\/revisions\/141"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/media\/75"}],"wp:attachment":[{"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/media?parent=96"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/categories?post=96"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ibleboom.com\/blog\/wp-json\/wp\/v2\/tags?post=96"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}