Direct Taxes Code bill in monsoon session: Finance minister
May, 16th 2012
Finance minister Pranab Mukherjee on Tuesday said he intends to introduce the revised Direct Taxes Code (DTC) Bill, which seeks to overhaul the 50 yearold income tax laws, in the monsoon session of Parliament . While moving the Finance Bill in Rajya Sabha for consideration and returning, Mukherjee also said that most of the recommendations of the Parliamentary standing committee headed by BJP leader Yashwant Sinha would be accepted.
"I will have the opportunity after the Budget session is over, to go through all the recommendations (of the standing committee)," he added.
The Finance Bill has already been approved by the Lok Sabha after incorporating several changes to the original proposal. Several contentious proposals such as the General Anti Avoidance Rules have been watered down and deferred, while other controversial issues such as excise duty on jewellery have been dropped.
Mukherjee said he had incorporated certain amendments such as removal of the cascading effect of the dividend distribution tax, allowing venture capital to invest in all sectors, introduction of Advance Pricing Agreements and raising the threshold limit for audit and presumptive taxation to Rs 1 crore, which have been endorsed by the standing committee .
The standing committee on DTC had given a number of recommendations, including raising income tax exemption limit to Rs 3 lakh from Rs 1.8 lakh now.
FM ruled out reopening of cases where assessment orders have been finalized, following retrospective amendment in laws related to taxation of overseas deals involving Indian assets.