The government is set to go ahead with the countrys biggest direct tax reform in nearly half a century and will table the Direct Taxes Code (DTC) Bill in Parliament in the Monsoon Session.
I will have the opportunity after the Budget Session is over,to go through all the recommendations (of the Standing Committee on Finance) and thereafter approval of the Cabinet,in the next Monsoon Session bring the DTC Bill for approval of the both the Houses, finance minister Pranab Mukherjee said,adding that many of the suggestions of the standing committee are likely to be accepted.
Mukherjee,who moved the Finance Bill,2012,in Rajya Sabha on Tuesday for consideration and passing,said he could not go through the all the recommendations of the Standing Committee on DTC as the report was given on March 9 and Finance Bill was presented on March 16. The Finance Bill,2012,was passed by the Lok Sabha last week.
Therefore it was quite natural that I could not take into account all major recommendations on the DTC, he said. The DTC Bill will have far reaching consequences on the income tax laws in the country as it will replace the Income-Tax Act,1961.
The Standing Committee,which is led by former finance minister Yashwant Sinha had submitted its report in March and had called for hiking the income tax exemption limit to Rs 3 lakh from Rs 1.8 lakh now and hiking the investment limit for tax savings scheme.
Meanwhile,Mukherjee once again tried to allay fears on retrospective tax proposals in the Finance Bill,2012 and informed the Rajya Sabha that tax officials would not reopen assessment orders that have been finalised.