A Finance Act is the fiscal legislation enacted by the Indian Parliament to give effect to the financial proposals of the Central Government.
It is enacted once a year and contains provisions relating to income taxes, customs, excise, Central and Integrated GST and other cess, exemptions, and reliefs.
The most important element is the rules laid down in the Act with respect to Income Tax Rates.
Every year, the Act lays down in detail all the associated provisions related to Income Tax in the country.
Source:[2] The Finance Act for a particular financial year also includes the amendments that have been made with respect to Direct Taxes.