Today in Parliament: Amended Finance Bill 2025 to be presented by Finance Minister Nirmala Sitharaman

Finance Minister Nirmala Sitharaman is set to present amendments to the Finance Bill 2025 in the Lok Sabha, the lower house of Parliament, on Tuesday, March 25. Here are some of the likely amendments made to the Finance Bill 2025, according to prople familiar with the matter:

• Changes in the safe harbour regime applicable to foreign investment managers handling funds in the Indian market
• The removal of a 5 per cent monitoring limit applicable to investment fund managers
• A proposal has been introduced to implement presumptive taxation for electronic manufacturing units
• The removal of a 6 per cent equilisation given the current economic conditions globally

According to sources, changes related to foreign investment managers are set to enourage offshore funds to invest and open offices in India.

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The finance minister moved the Finance Bill 2025 in Parliament on Monday. The Bill contains the Narendra Modi 3.0 administration's proposals as part of its Union Budget for FY26.

Once passed by Parliament, the amended Finance Bill 2025 becomes law, enabling the government to execute its Budget proposals.

As the amended Finance Bill 2025 reaches Lok Sabha, take a look at Union Budget 2025 highlights

In the Union Budget for 2025-26, presented on February 1, the finance minister announced a host of personal tax rates to leave more money in the pockets of the common man, at a time when the economy stared at its slowest pace of growth in four years amid sticky food inflation denting savings. The central government pegged fiscal deficit, or the shortfall between revenue spent and revenue earned, at 4.4 per cent in FY26, 40 basis points lower than the estimate for the current financial year.

The finance minister said that the Budget for FY26 aims to initiate transformative reforms across six domains over five years:

• Taxation
• Power sector
• Urban development
• Mining
• Financial sector
• Regulatory reforms

A key announcement that brought smiles to the faces of middle class salaried taxpayers was no taxes for those earning up to Rs 12.75 lakh (including standard deduction), raising the threshold from Rs 7 lakh, while also cutting taxes for those earnings above the new threshold.

"The new structure will reduce taxes on middle class and leave more money in their hands, boosting household consumption, savings and investment," Sitharaman said during her February 1 Budget speech in Parliament. Read more on what Finance Minister Nirmala Sitharaman said

The Finance Minister earmarked a total expenditure of Rs 50.65 lakh crore (Budget Estimate or BE) for FY26, marking a 7.4 per cent increase over a Revised Estimate (RE) for the current financial year. She pegged the capital expenditure (capex) at Rs 11.2 lakh crore for FY26, higher than a revised estimate of Rs 10.18 lakh crore for FY25.

Banking Laws Amendment Bill 2024 in Rajya Sabha

Meanwhile, the finance minister also moved The Banking Laws (Amendment) Bill, 2024, in the Rajya Sabha, the upper house of Paliament.