“The report was all set to be submitted today (Wednesday), but CEA Subramanian wanted to give additional inputs, hence the deadline was extended,” said a government official.
The new terms of reference included faceless and anonymised scrutiny, mechanism for system-based cross verification of the financial transactions, reduction in litigation and expeditious disposal of appeals.
This is the second extension for the taskforce under the Central Board of Direct Tax (CBDT) member Akhilesh Ranjan. Earlier, the committee was supposed to submit its report by May 31, but then finance minister Arun Jaitley gave a two-month extension to complete the exercise.
In fact, the earlier report led by former CBDT member Arbind Modi with same terms of reference was not accepted by then finance minister in September last year, on the grounds that all members could not arrive at a consensus.
The proposed DTC is aimed at reforming complex income tax laws into simpler tax codes with reduced rates, fewer exemptions and tax slabs. Once the draft report is ready, it will be put up for public suggestions to address the concerns of all stakeholders.