Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: articles on VAT and GST in India :: due date for vat payment :: empanelment :: ACCOUNTING STANDARDS :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT RATES :: ACCOUNTING STANDARD :: list of goods taxed at 4% :: form 3cd :: Central Excise rule to resale the machines to a new company :: TDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: cpt :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit
 
 
Direct Tax »
 Hopeful of meeting direct tax collection target for this financial year: CBDT
 Bengaluru tops in income tax probes after demonetisation
 Income Tax department rejects black money disclosures of over Rs 2 lakh crore
 CBDT urges people to protect bank accounts from 'unscrupulous elements'
 No change in gold seizure norms in proposed I-T Law amendments
 Direct tax collection will get a long-term boost, Franklin Templeton says
 I-T Act amendments upset calculations of cash hoarders
 Claim tax benefit on costs incurred to evict tenants
 The Integrated Goods And Services Tax Act, 2016
 Here’s what Income Tax Department did leading up to demonetisation
 I-T department asks IDS declarants to pay tax by November 30

Will direct tax code revamp see light of day?
July, 29th 2008

The long awaited revamp of the direct tax code might take longer than expected. Serious differences within the Finance Ministry may prevent the direct tax code from being operationalised during the current tenure of the UPA government.

A fresh wave of economic reforms may be the flavour of the season, but the revamp of the direct tax code is perhaps one area, which could be put on the backburner. Sources said even the long awaited final draft of the code, which was expected by the end of June has not been finalised. The reason for this is strong disagreements within the Ministry on key issues on which the code would be revamped.

Sources said the opinion is strongly divided on whether retirement benefits such as Provident Fund and Gratuity should be subjected to tax at the stage of withdrawal or EET (Exempt Exempt Tax) in tax parlance, or whether the current system which exempts retirement benefits at all stages, or EEE (Exempt Exempt Exempt), should be continued.

There are strong differences on whether sunset clauses for the IT sector especially EOUs, or Export Oriented Units, and STPIs, or Software Technology Parks of India, should be extended beyond 2010.

Also, in a bid to increase the tax base, the authors of the code are trying to include as many groups within the tax ambit as possible. Income definitions under different heads like salary, housing and income from business are being widened, but this has attracted stiff opposition from corporates and other experts.

This has delayed the finalisation of the code, which once finalised will be put up for comments from the public, after which the law ministry will vet it. Post clearance from the Law Ministry and clearance from the cabinet, the bill could be introduced in Parliament but has to be sent to the Parliamentary Standing Committee on Finance for its comments. But with a small legislative window available to the government and a slew of bills to be passed, the tax code may well be low on the priority list.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Achievements

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions