BRS Working President KT Rama Rao has strongly criticized the Centre’s proposed Income Tax Bill, 2025, calling it a major threat to citizens’ digital privacy.
He expressed concerns that the bill would allow tax officials unchecked access to social media, emails, and online trading accounts under the pretense of tax enforcement. According to him, this could lead to harassment, misuse, and mass surveillance.
Rama Rao pointed out that financial data is already monitored through multiple reporting systems. He questioned who would be held accountable if these new powers were abused. He also demanded that Prime Minister Narendra Modi and Finance Minister Nirmala Sitharaman clarify how they plan to prevent misuse.
The Income Tax Bill, 2025, introduced in February, gives tax authorities greater powers than the existing Income Tax Act, 1961. Under Section 247, officials can search any ‘virtual digital space’, which Section 261(i) defines as social media, emails, and online accounts, if tax evasion is suspected. This provision will take effect from April 1, 2026. Unlike the current law, which mainly targets physical assets, this change raises concerns about privacy violations.
Legal experts warn that the bill could violate citizens’ rights under Article 21, which guarantees privacy. The 2017 Puttaswamy judgment had upheld privacy as a fundamental right, making this bill even more controversial.
KTR called the bill a “blatant assault on digital rights” and insisted that existing surveillance laws are already sufficient. He urged citizens and the opposition to oppose the bill and demand changes to ensure a balance between tax enforcement and privacy protection.