Income Tax Bill 2025: Key Income Exemptions Include Agriculture, Life Insurance, Provident Fund, and Scholarships
The Income Tax Bill, 2025 outlines specific types of income exempt from being included in a person's total taxable income. Exemptions include agricultural income, certain life insurance policy sums, provident fund payments, and payments from the Sukanya Samriddhi Account Scheme, National Pension System Trust, and Agniveer Corpus Fund. Also excluded are scholarships for education, government-approved awards, interest on specific government securities, and income from specified services subject to an equalization levy. Conditions apply, such as premium-to-sum assured ratios for insurance policies, and limits on contributions to provident funds. Certain keyman insurance policies and interest accrued from contributions exceeding specified limits are not exempt.