The Government plans to introduce the Direct Taxes Code (DTC) Bill, which will replace the archaic Income-Tax Act, in the current monsoon session of Parliament.
“We do expect the DTC Bill to be introduced in Parliament in this session,” the Revenue Secretary, Mr Sunil Mitra, told reporters on the sidelines of a CII event.
The current session of Parliament ends on August 31. The Finance Minister, Mr Pranab Mukherjee, in his Budget speech had indicated the Centre’s intention to implement DTC from April 1, 2011. After holding discussion with the industry and other stakeholde rs, the Government came out with a revised DTC draft in June.
DTC, on which the Government had invited public comments twice, will replace the archaic Income-Tax Act, 1961. DTC and Goods and Services Tax (GST) are the two major tax reforms that the Government aims to introduce by April 1, 2011. DTC aims at reducing tax rates, but expanding the tax base by minimising exemptions.
