Direct Taxes: Recent News Snippets

August 26, 2009
1 min read

New Draft Direct Taxes Code released

As promised by the finance minister in his Budget Day speech in July, the New Draft Direct Taxes Code was released for public discussion on August 12. The stated intent is to fulfil the long-standing and ambitious plan of simplifying the country’s complex direct tax laws — to make it simpler and easier for tax payers to comply with. The stated focus of the code is to improve the efficiency and equity of the Indian tax system, by introducing moderate levels of taxation and expanding the tax base. The code also brings all other direct taxes like wealth tax under its purview. If enacted in the current state, the code will come into effect from April 1, 2011.

Income tax dept. to introduce centralized processing of returns

Income tax (I-T) department has decided to move towards centralized mass processing of returns, said government.  Finance Minister, Pranab Mukherjee said there is a huge pendency of over 20 million income tax returns for processing as on April 1 this year. He said a pilot project for mass processing of salary returns has been completed at Mumbai. Based on these, a centralized processing centre is being set up at Bangalore. The Finance Minister said the entire process will be completed in the current financial year.

Nandan Nilekani takes over as Chairman of Unique Identification Authority of India (UIADI)

23-Jul-09: Shri Nandan Nilekani took over as Chairman of Unique Identification Authority of India (UIADI) here today. Interacting with the media on the occasion, Shri Nilekani said Unique Identification Number will ensure multifarious benefits by enabling different applications. Unique number will include personal and demographic detail of the residents. Common man will be empowered by establishing his identity across the country through a unique number.  Replying to queries of the media persons, Shri Nilekani said that data base of residents from various sources will be used for biometric identification. Authority will include best available technical experts from private and Government sector both. He expressed the hope that first set of Unique Identification Numbers will be issued within next 12-18 months.

Three years on, govt. yet to fill several posts of I-T Ombudsman

Three years after setting up of the office of Income Tax Ombudsman for taxpayers to address grievances against the IT department, the government is yet to find enough suitable persons to fill up the posts which are lying vacant across the country.

 Pranab asks CBDT to raise direct tax collection target

The unanticipated drought and the likely adverse impact on Government finances has compelled the Finance Minister, Mr Pranab Mukherjee, to tell the Central Board of Direct Taxes (CBDT) to raise the direct tax collection target for 2009-10 to Rs 4 lakh crore from Rs 3.7 lakh crore.  Mr Mukherjee said that the tax base in India was “still small

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