The task force constituted by the government for drafting the new direct tax code (DTC) on August 19 submitted its report to Finance Minister Nirmala Sitharaman.
The details of the report, however, could not be known immediately.
"The Finance Minister was pleased to accept our report. The government will put it in public domain. A full-fledged report in two volumes has been given. After entire deliberations over 21 months, there was a unanimous decision on the entire DTC," said Mukesh Patel, tax advocate and member of the panel.
The task force, headed by Akhilesh Ranjan, Member (Legislation), Central Board of Direct Taxes, was scheduled to submit its report by May. However, it was given an an extension of two-three months by then FM Arun Jaitley.
Later, the government allowed the task force to submit its report by August 16, 2019, as new members of the panel requested for more time to provide further inputs.
The new direct tax code is expected to make personal income tax rates more 'progressive' by giving relief to people in the 5 percent and 20 percent slabs. It is also aimed at reforming the complex income tax laws into simpler tax codes with reduced rates, fewer exemptions, and tax slabs.
The Finance Ministry in November last year appointed Ranjan as Convenor of the task force after the retirement of Arbind Modi.
Other members of the task force include Girish Ahuja (chartered accountant), Rajiv Memani (Chairman and Regional Managing Partner of EY), Mukesh Patel (practicing tax advocate), Mansi Kedia (consultant, ICRIER) and GC Srivastava (retired IRS and Advocate).
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