India, Feb. 1 -- The Government of India has issued a release:
Union Budget 2026-27 presented by the Union Minister of Finance and Corporate Affairs, Smt. Nirmala Sitharaman in the Parliament today emphasized the 'Kartavya' of sustaining the momentum of structural reforms. The Finance Minister proposed a slew of Direct tax reforms to simplify the tax regime and ensure better compliance by the citizens.
New Income Tax Act
The Income Tax Act, 2025 is slated to come into effect from 1st April 2026. The simplified Income Tax Rules and Forms will be notified in due course giving adequate time to taxpayers to acquaint themselves with its requirements. The forms have been redesigned for simpler understanding and compliance for ordinary citizens.
Tax administration
Smt. Sitharaman proposes to constitute a Joint Committee of Ministry of Corporate Affairs and Central Board of Direct Taxes for incorporating the requirements of Income Computation and Disclosure Standards (ICDS) in the Indian Accounting Standards (IndAS). Separate accounting requirement based on ICDS will be done away with from the tax year 2027-28.
To support the Prime Minister's vision of home-grown accounting and advisory firms to become global leaders, the Budget proposes to rationalize the definition of accountant for the purposes of Safe Harbour Rules.
Other Tax proposals
Disclaimer: Curated by HT Syndication.
