Advance tax monitoring urged to curb bogus exemption claims and strengthen collection of arrears and confirmed demands.
The central action plan directs monitoring of top advance tax payers to detect bogus exemption and deduction claims, encourages reassessment of advance liabilities, mandates sectoral and regional profiling to address negative revenue trends, and prioritises collection of arrear and current demands-including amounts confirmed by the Commissioner of Income Tax (Appeals)-while promoting taxpayer outreach, updated return filing, prompt refunds, and measures to reduce arrear levels.

ULIP tax benefits enable tax-advantaged life cover with flexible investments, withdrawals, riders and fund switching options.
A Unit Linked Insurance Plan combining substantial life cover with investment in equity, hybrid and debt funds offers flexible premium payment options, top-ups, unlimited free fund switching, post-lock-in withdrawal plans and optional riders for critical illness, accidental death, disability and hospitalization; two variants balance charge structures and coverage levels, and premiums and payouts receive tax treatment under income-tax provisions, subject to full policy terms, conditions and regulatory compliance.

ITR-3 updates: raised asset disclosure thresholds and new capital gains split rules change filing and deduction reporting.
Notification of ITR-3 for AY2025-26 updates filing requirements for individuals and HUFs with business or professional income by raising the Schedule AL asset liability disclosure threshold and requiring capital gains to be split based on whether they arose before or after July 23, 2024; taxpayers holding property before that date may elect a lower long term capital gains tax treatment without indexation or retain the indexation option. The form also adds deduction dropdowns and section wise TDS reporting to improve data accuracy and ease of filing.

Money laundering enforcement under PMLA sees expanded provisional attachments and prosecutions, emphasising evolving ML threats.
The Directorate of Enforcement reports intensified use of PMLA investigative and attachment powers in FY 2024-25, including a substantial increase in new investigations, more provisional attachment orders with higher aggregate asset value, the filing of numerous prosecution complaints progressing to trial, and court-approved restitutions. The ED highlights a high conviction ratio in decided cases and warns of evolving money-laundering methods such as cryptocurrency and hawala, urging adaptation of investigatory tools and techniques under PMLA.

Appointment of Secretary, Department of Revenue: senior IAS officer assumes charge following Appointments Committee approval and prior central finance roles.
Appointment of Secretary, Department of Revenue effected by executive decision: the Appointments Committee approved the selection and the appointee assumed charge. The appointee is a senior Indian Administrative Service officer with prior central roles in the Prime Minister's Office and Budget Division, state-level finance and urban development leadership, a managing directorship in an urban infrastructure finance corporation, and experience at a multilateral development bank.

Access to justice: Legal aid awareness must be sharp, tech driven and reach victims, witnesses and grassroots providers.
Access to justice and legal aid awareness must be delivered through concise, audience targeted outreach using modern media and grassroots engagement. Schemes should be conceptualised after consulting intended beneficiaries and frontline workers such as paralegal volunteers, and legal aid must extend support to victims and witnesses as well as accused persons. The National Legal Services Authority Act is identified as foundational to the country's legal aid framework, which requires effective implementation and measurable local penetration.

LTCG exemption threshold: simplified ITR eligibility expanded to allow small exempt gains to be reported on easier forms.
The government has notified ITR 1 (Sahaj) and ITR 4 (Sugam) for AY 2025 26, expanding eligibility so resident individuals and entities with total income up to Rs 50 lakh may use these simplified forms. Taxpayers with long term capital gains from listed shares and mutual funds up to Rs 1.25 lakh can file ITR 1 or ITR 4 instead of ITR 2; ITR 1 and ITR 4 now include sections to report exempt LTCG under Section 112A. Forms also update disclosure fields for certain deductions, require section wise TDS details, and retain queries on large foreign travel and electricity expenditures.

ITR eligibility expansion: salaried taxpayers with limited long term capital gains can use the simpler Sahaj or Sugam forms.
The tax authority has notified that resident individuals, HUFs and eligible firms within the prescribed total income limit may use simpler ITR-1 (Sahaj) or ITR-4 (Sugam) forms; Sahaj now permits limited long term capital gains from equity shares and equity oriented mutual funds provided such gains do not exceed the stated cap and there are no capital losses to carry forward or set off, while Sugam continues to serve eligible business and professional taxpayers within the income ceiling.

Statutory CAPEX data collection under the Collection of Statistics Act reveals private sector investment trends with confidentiality safeguards.
The National Statistical Office conducted a Forward Looking Survey under the Collection of Statistics Act, 2008 to estimate private corporate sector CAPEX trends for recent years and intended spending, targeting large enterprises via a stratified census-plus-sample frame from MCA registers and using a secure web portal; results show rising gross fixed assets and elevated intended CAPEX for 2024 25 concentrated in machinery and manufacturing, while methodological caveats-moderate response rates, excluded SPVs, reporting errors, and respondent caution-mean findings are experimental and subject to refinement, with unit data remaining confidential.

Tax exemption granted to river cleaning authority, conditional on continued environmental conservation and public welfare purposes under tax law.
A tax exemption has been conferred on the National Mission for Clean Ganga, recognising it as an authority under the Environment (Protection) Act, with income tax exemption effective from the assessment year 2024-25. The exemption is conditioned on the entity continuing to operate as an authority with one or more specified purposes under the Income Tax Act, including promotion of sustainable development, conservation of the environment, and advancement of public welfare.

Customs cooperation strengthened to enable automated transit processes and coordinated border management, enhancing secure cross border trade facilitation.
The meeting prioritised enhancing bilateral customs cooperation by re engineering procedures, adopting automation and digitisation for transit, implementing pre arrival data exchange, promoting coordinated border management, and enabling transit cargo movement under an Electronic Cargo Tracking System, complemented by capacity building on Risk Management Systems, Authorized Economic Operator frameworks, and food safety standards to secure and facilitate cross border trade.

Economic stability and policy continuity underpin India's investment appeal, boosting infrastructure, manufacturing and digitalisation.
The address stresses that policy continuity, monetary and financial stability, and progressive liberalisation underpin India's investment appeal. Strengthened banking and non bank balance sheets, deepening capital markets, robust foreign exchange buffers and an accommodative monetary framework support orderly external adjustments. Fiscal consolidation with higher quality capital expenditure, targeted delivery via digital transfers, and heavy infrastructure investment create multiplier effects. Concurrently, manufacturing incentives, skilling initiatives, innovation and digital public infrastructure (payments, tax, regulatory sandboxes) are framed as strategic levers to broaden opportunities and sustain long term growth.

Abuse of official position used to orchestrate impersonation and extortion, followed by absconding and later arrest.
Allegations describe a coordinated extortion-cum-dacoity operation in which an Income Tax Department employee is said to have exploited his official position to recruit accomplices who impersonated government officers, used an SUV with CCTV-confirmed participation, and coerced a victim's family; the accused was initially arrested, jumped bail, was declared a proclaimed offender by a court, and was arrested after over a year on the run.

Corruption in faceless tax assessments undermined as arrests signal crackdown on insider leaks and bribery.
Allegations assert a conspiracy to subvert the Faceless Scheme of Income Tax Assessment by disclosing assessing officer identities and case issues to taxpayers and collecting undue gratification for favourable outcomes; searches recovered incriminating documents, payment evidence and digital material, arrests were made, and investigation continues against departmental officers, professionals and others.

Faceless Scheme integrity breached: alleged insider disclosure and bribery scheme promising favourable tax assessment outcomes.
Allegations assert that a Deputy Commissioner-level income tax officer and a private intermediary conspired to obtain and disclose confidential assessment information under the Faceless Scheme, promise favourable orders to taxpayers in pending high-value assessments in exchange for pecuniary benefits, and collect undue gratification. Searches at multiple locations yielded incriminating documents, payment evidence, and digital material. A complaint from the Income Tax Department led to registration of a criminal investigation naming departmental officers, chartered accountants, and private persons; arrests have been made and investigation continues.

Direct tax collections narrowly missed the revised target due to record refunds, despite growth in gross receipts.
Net direct tax receipts for the 2024-25 fiscal narrowly fell short of the revised budget target because issuance of record refunds reduced the net mop up, despite substantial year on year growth in provisional gross and net collections; final totals remain provisional pending last stage reconciliation and adjustments.

Waqf by user provision defended as legislative matter, Centre warns courts against reworking statutory allocation rules.
Centre defended the amended waqf by user provision in the Supreme Court, contending that judicial interference would create a legislative regime, and reported a significant post-amendment addition to waqf land while flagging alleged misuse of waqf provisions to encroach on private and government properties. Concurrently, procedural developments included a Delhi court declining to issue notice in a money-laundering matter, the brief custody and release of an activist in a defamation case, and arrests for alleged inflammatory social-media posts under public-order provisions.

Direct tax collections met target with record refunds issued; provisional figures show growth and improved tax buoyancy.
Provisional net direct tax collections for 2024-25 met the budget target with year-on-year growth, despite the income tax department issuing the highest-ever refunds; gross receipts rose and net collections achieved slightly above the original budget target but slightly below the revised estimate, with final adjustments pending. Corporate tax and non-corporate tax both contributed to the increase, and the provisional tax buoyancy ratio indicated direct tax growth exceeding GDP growth.

Faceless assessment integrity compromised as officials allegedly leaked insider information enabling bribery and favourable treatment.
Allegations concern clandestine interference with the faceless assessment framework by identifying assessing officers and issues under scrutiny, transmitting that insider information to taxpayers and intermediaries, and extracting payments in exchange for favourable treatment, thereby breaching confidentiality and undermining the scheme's objectives to reduce human interface, discretion and corruption.

Deductibility of settlement expenses restricted; settlements for securities, contracts, depositories and competition law defaults nondeductible.
Expenditure incurred to settle proceedings in relation to contraventions or defaults under the Securities and Exchange Board of India Act, the Securities Contracts (Regulation) Act, the Depositories Act, and the Competition Act shall not be deemed to have been incurred for the purpose of business or profession and therefore shall not be allowable as a deduction; the change is effective from 1 April 2025 and audit reporting (Form 3CD) has been amended to capture such expenses.