Direct taxes panel to discuss procedural snags on Friday
April, 11th 2013
Procedural and administrative difficulties faced by income tax assessees are likely to come up for special discussion at the meeting of the Central Direct Taxes Advisory Committee (CDTAC) slated for Friday.
In the meeting, Finance Minister P. Chidambaram, who heads the CDTAC, is also likely to spell out the way forward on the tax administration reform commission that is proposed to be set up by the Government.
An emerging economy must have a tax system that reflects best global practices, Chidambaram had said in his Budget speech. But, income tax assessees are not happy with the efficacy of the tax system.
Among other things, they would prefer faster processing of refunds, higher interest on delayed refunds and well defined guidelines for stay and recovery matters.
The chiefs of all the three industry chambers – Assocham, CII and FICCI – are expected to submit their views to the panel, as they are members of the committee, it is learnt.
CDTAC was set up to advice the Government on measures for developing and encouraging mutual understanding and co-operation between taxpayers and the Income-Tax Department.
On Friday, the committee will not discuss individual cases or matters relating to the taxation policy of the Government, industry sources said.
The meeting will take up the issues of tax recovery and litigation, the two perennial issues that haunt taxpayers, which arise mostly out of procedures adopted by the Income-Tax Department