Union Finance Minister Nirmala Sitharaman on Monday chaired a meeting on the comprehensive review of the Income Tax Act 1961.
The meeting was also attended by Finance Minister Sanjay Malhotra, CBDT Chairman Ravi Agarwal and other senior CBDT officials.
Sitharaman had announced a comprehensive overhaul of the programme Income Tax Act 1961 in the Union Budget 2024-25 on July 23.
In a post on social media platform
Malhotra informed Sitharaman that these committees have been actively involved in numerous meetings – both in person and through a virtual conference – with domain experts to jointly explore and recommend improvements to the law, the post said.
He also told the Finance Minister that 6,500 valuable suggestions have been received through the portal since its opening on October 6, reflecting active public participation in further simplification of the Income Tax Law.
Last month, the CBDT’s internal committee invited public inputs for a review of the six-decade-old Income Tax Act regarding simplification of language, reduction in litigation, reduction in compliance and outdated provisions.
Public input and suggestions were sought in four categories: simplifying language, reducing litigation, reducing compliance, and redundant/outdated provisions.
Following Sitharaman’s budget announcement for a comprehensive revision of the Income Tax Act, 1961, the CBDT had set up an internal committee to oversee the revision and make the Income Tax Act concise, clear and easy to understand, which will tax burden will decrease. prevent disputes and lawsuits and provide taxpayers with greater tax certainty.
Finance Minister Nirmala Sitharaman had claimed in her Budget speech that the comprehensive revision of the law will also reduce the demand which is embroiled in litigation. She had proposed completing the review within six months.