The year 2025 was pivotal in India's legislative journey, as Parliament enacted significant laws across various sectors including finance, taxation, digital regulation, and social welfare. These legislative changes aim to modernize systems, enhance transparency, and bolster governance in line with the vision of Viksit Bharat 2047. Below is an overview of the most impactful acts passed in 2025.
This comprehensive reform in India’s insurance sector includes increasing the FDI limit from 74% to 100%, allowing full foreign ownership. It strengthens consumer rights, mandates accurate data from policyholders, enhances privacy, and ensures transparency in claim processes. The Act promotes digital insurance policies, lowers entry barriers for new insurers, and empowers the IRDAI with stricter penalties, supporting the goal of “Insurance for All by 2047.”
The Finance Act, 2025 provides statutory backing to the Union Budget 2025-26. Key features include the removal of the 6% digital tax on online advertisements, which enhances the business environment. It details total expenditure of ₹50.65 lakh crore, reduces the fiscal deficit to 4.4% of GDP, and increases allocations for capital expenditure, defense, and job creation.
This new Act replaces the outdated Income Tax Act of 1961, aiming to simplify and modernize direct taxation. By using clear language and eliminating obsolete provisions, it reduces litigation and compliance burdens without raising tax rates. Based on extensive public feedback, this law is expected to boost voluntary compliance and investor confidence in India's tax framework.
Replacing MGNREGA, this Act creates a new rural employment framework that guarantees 125 days of wage employment per rural household, up from 100 days. It emphasizes sustainable livelihoods and asset creation. While hailed as a modernization effort aligned with Viksit Bharat 2047, it faces criticism regarding potential dilution of rights-based guarantees.
Establishing India’s first national framework for regulating online gaming, this Act promotes e-sports while banning online money gaming platforms. It creates a central Online Gaming Authority to oversee regulation and support sector growth, introducing strict penalties to address addiction and fraud concerns.
These Acts phase out the GST compensation cess on tobacco and pan masala by 2026, replacing it with a new excise duty. Revenue generated will fund public health and national security initiatives, ensuring fiscal continuity while discouraging harmful consumption through targeted taxation.
This Act enhances competition in the electricity sector by permitting multiple distribution licensees in the same area. It mandates cost-reflective tariffs while protecting subsidized rates for farmers and low-income households. The law also strengthens regulatory commissions and promotes clean-energy initiatives.
A key reform in sports administration, this Act brings the BCCI under the RTI Act and establishes it as a National Sports Federation. It mandates representation for athletes and women, sets term limits, and ensures transparent elections, aligning Indian sports governance with global standards.
This reform modernizes the management of Waqf properties, repealing the colonial-era Mussalman Wakf Act, 1923. The amendments to the Waqf Act, 1995 focus on enhancing transparency, governance, and digitization, while including provisions for women's rights and broader representation on boards.
The SHANTI Act bolsters nuclear governance by granting statutory status to the Atomic Energy Regulatory Board (AERB). It introduces enhanced safety standards, recognizes Small Modular Reactors, and allows limited private sector participation, facilitating India’s clean-energy transition with a target of 100 GW nuclear capacity by 2047.
Q1. What are the key highlights of the Insurance Amendment Act, 2025?
Answer: The Insurance Amendment Act, 2025 allows 100% foreign ownership, strengthens consumer rights, and promotes digital policies, all aiming for "Insurance for All by 2047."
Q2. How does the Finance Act, 2025 impact the Indian economy?
Answer: The Finance Act, 2025 abolishes the digital tax on online ads, outlines significant budget expenditures, and improves the fiscal deficit, enhancing the ease of doing business.
Q3. What changes does the Income Tax Act, 2025 introduce?
Answer: The new Income Tax Act simplifies taxation, removes outdated provisions, and lowers compliance burdens without increasing tax rates, fostering investor confidence.
Q4. What is the significance of the VB-G RAM G Act, 2025 for rural employment?
Answer: This Act guarantees 125 days of wage employment per rural household, focusing on sustainable livelihoods and aligning with Viksit Bharat 2047 goals.
Q5. What are the implications of the SHANTI Act, 2025 for nuclear energy in India?
Answer: The SHANTI Act enhances nuclear safety governance, allows for limited private participation, and targets a 100 GW nuclear capacity by
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