Digest for 13 August, 2025
Parliament Passes New Income Tax Bill to Replace 1961 Act
Parliament has passed the new Income Tax Bill, 2025, which will replace the six-decade-old Income Tax Act of 1961. Finance Minister Nirmala Sitharaman stated the new legislation aims to simplify the language of tax law and remove outdated provisions, without introducing any new tax rates. The bill, a money bill, was passed by the Rajya Sabha with a voice vote and returned to the Lok Sabha after Opposition parties staged a walkout, declining to participate in the debate.
Impeachment Motion Against High Court Judge Accepted, Probe Panel Formed
Lok Sabha Speaker Om Birla has accepted a motion signed by 146 cross-party MPs to impeach Justice Yashwant Varma of the Allahabad High Court. The move follows the recovery of unaccounted cash at the judge's Delhi residence. A three-member committee, comprising a Supreme Court judge, a High Court Chief Justice, and a senior jurist, has been formed to investigate the charges. This initiates a rare and significant constitutional process for the removal of a sitting High Court judge.
Centre Approves Four New Semiconductor Units Worth ₹4,600 Crore
The Union Cabinet has approved the establishment of four new semiconductor manufacturing units in Odisha, Punjab, and Andhra Pradesh, with a total investment of ₹4,594 crore. The move is part of the India Semiconductor Mission to bolster the country's electronics manufacturing ecosystem. The projects include a silicon carbide plant in Bhubaneswar, a 3D glass unit in Odisha, a chip packaging plant in Andhra Pradesh, and a facility in Punjab, significantly boosting India's capacity in this strategic sector.
India and China Poised to Resume Direct Flights After Five-Year Hiatus
India and China are in advanced negotiations to resume direct flight services, which have been suspended since the COVID-19 pandemic and subsequent border tensions in 2020. The move signals a potential thaw in diplomatic and economic relations ahead of Prime Minister Narendra Modi's likely visit to China for the Shanghai Cooperation Organisation (SCO) summit. The resumption of air connectivity is expected to boost trade, tourism, and people-to-people contact between the two Asian powers, marking a significant step in normalizing ties.
Supreme Court Stays Coercive Action Against Owners of Older Vehicles in Delhi-NCR
In a major relief to millions of vehicle owners, the Supreme Court has ordered authorities not to take coercive action against those plying diesel vehicles over 10 years old or petrol vehicles over 15 years old in the Delhi-NCR region. The court issued the interim directive while hearing a plea from the Delhi government seeking to recall a 2018 order that enforced a blanket ban based on vehicle age. The plea argues for a more scientific, emission-based criteria for vehicle fitness.