Source Credit: The Hindu
With the upcoming FY 2025, the Indian government is reportedly set to introduce a tax bill called ‘simplified tax’ to simplify the tax process. According to sources familiar with the matter, the government is considering reforms to make tax filing easier and reduce the burden on taxpayers. The proposals are reported to focus on simplifying tax filing, reducing tax evasion and ensuring greater transparency for taxpayers.
One of the key objectives of the new tax law is to reduce the complexity of the existing tax legislation, which is often criticised for its complex rules and numerous regulations. The government aims to encourage greater tax compliance and reduce the chances of errors in the filing process by simplifying the Act. This could be particularly beneficial for small businesses and individual taxpayers who find the current system cumbersome.
While the exact details are yet to be finalised, experts are optimistic that the changes could improve the ease of doing business and attract more investment into the country. Once these reforms are implemented, there will be a significant change in India’s tax system, bringing the system in line with global best practices in terms of simplicity and efficiency. The full scope of these changes will be revealed when the budget is presented early in 2025.
