The task force formed to draft a new direct tax law and review the Income-tax Act has sought an extension of 2-3 months for its report submission deadline, a senior government official said.
The panel was earlier supposed to submit its report by February 28.
“The task force apprised the Finance Minister on progress made by the panel so far. It sought an extension of 2-3 months for submission of the report,” the official said. The panel is still receiving more suggestions and needs to consider them, another official said. The report would come well before the final Budget for 2019-20, which will be presented sometime in July after the elections.
The Finance Ministry in November last year appointed Akhilesh Ranjan, Member (Legislation), CBDT, as convenor of the task force after the retirement of Arbind Modi. Other members of the task force remained same as Girish Ahuja (chartered accountant), Rajiv Memani (Chairman and Regional Managing Partner of EY), Mukesh Patel (Practicing Tax Advocate), Mansi Kedia (Consultant, ICRIER) and G C Srivastava (retired IRS and Advocate). The reconstitution of the panel had come after the earlier task force did not submit its final report, which was due by September-end, to the ministry. The convenor of the panel, then CBDT Member Arbind Modi, retired on September 30, which left the report in limbo.
Prime Minister Narendra Modi, during the annual conference of tax officers in September 2017, had observed that the Income-tax Act, 1961, was drafted more than 50 years ago and it needs to be redrafted.