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Aiming to expedite its report on the Direct Tax Code (DTC) Bill, the Parliamentary Standing Committee on Finance is meeting on Monday to listen to the views of the stakeholders on the matter.
“The committee is meeting on October 17 and we would be talking to stakeholders on the issue of Direct Tax Code,” Chairman of the 31-member Parliamentary panel Yashwant Sinha told The Pioneer.
The Direct Tax Code Bill was introduced in Parliament last year and is currently with the Standing Committee on Finance, which is supposed to give its report on it. Once passed, it will become the new Income Tax Act, replacing the existing four decade old IT Act of 1961. The new IT Act is proposed to come into force from April 1, 2012.
“We will present our report on the Direct Tax Code Bill hopefully by the forthcoming Winter Session of Parliament,” Sinha said, when asked about the time the panel would take to give its report.
Yashwant Sinha, however, said that there would be no discussion on the Goods and Services Tax (GST) in the meeting next week and the focus would solely be on the Direct Tax Code .
In the Direct Tax Code Bill, the annual Income Tax exemption limit is proposed at Rs 2 lakh, compared to Rs 1.6 lakh at present. Also under it, the Government proposes to widen tax slabs to levy 10 per cent tax on income
ranging between Rs 2 lakh and Rs 5 lakh, 20 per cent on Rs 5-10 lakh and 30 per cent above Rs 10 lakh.
Currently, income up to Rs 1.6 lakh per annum is exempt from tax for individuals. For women and senior citizens, the limit is 1.9 lakh and 2.4 lakh, respectively.
The tax is levied at a 10 per cent rate on income between Rs 1.6 lakh and Rs 5 lakh, 20 per cent on Rs 5-8 lakh and 30 per cent above Rs 8 lakh.
“The committee is meeting on October 17 and we would be talking to stakeholders on the issue of Direct Tax Code,” Chairman of the 31-member Parliamentary panel Yashwant Sinha told The Pioneer.
The Direct Tax Code Bill was introduced in Parliament last year and is currently with the Standing Committee on Finance, which is supposed to give its report on it. Once passed, it will become the new Income Tax Act, replacing the existing four decade old IT Act of 1961. The new IT Act is proposed to come into force from April 1, 2012.
“We will present our report on the Direct Tax Code Bill hopefully by the forthcoming Winter Session of Parliament,” Sinha said, when asked about the time the panel would take to give its report.
Yashwant Sinha, however, said that there would be no discussion on the Goods and Services Tax (GST) in the meeting next week and the focus would solely be on the Direct Tax Code .
In the Direct Tax Code Bill, the annual Income Tax exemption limit is proposed at Rs 2 lakh, compared to Rs 1.6 lakh at present. Also under it, the Government proposes to widen tax slabs to levy 10 per cent tax on income
ranging between Rs 2 lakh and Rs 5 lakh, 20 per cent on Rs 5-10 lakh and 30 per cent above Rs 10 lakh.
Currently, income up to Rs 1.6 lakh per annum is exempt from tax for individuals. For women and senior citizens, the limit is 1.9 lakh and 2.4 lakh, respectively.
The tax is levied at a 10 per cent rate on income between Rs 1.6 lakh and Rs 5 lakh, 20 per cent on Rs 5-8 lakh and 30 per cent above Rs 8 lakh.
