Dump Direct Tax Code, says tax expert
Vadodara: Eminent tax expert Mukesh Patel on Wednesday called upon the Federation of Gujarat Industries (FGI) to pressurise the UPA Government to dump the proposed Direct Tax Code (DTC) as it is complex and full of anomalies.
Addressing the FGI members on `Direct Taxes in the Union Budget 2011` here, he wanted the trade body to push the Centre to consider making suitable amendments in the existing Income Tax laws instead of introducing DTC, which is slated to come into effect from April 2012.
"Considering the many drafting blunders, inequities and anomalies in the revised Direct Taxes Code placed before Parliament, DTC virtually appears to be beyond repair. It needs to be dumped in the larger interests of taxpayers as well as the revenue generated," Patel said.
Various trade and industrial bodies and tax experts should appeal to the Finance Minister to consider the more practical option of suitably revising the present Income Tax Act in order to achieve the DTC objectives of promoting growth with equity, said Patel.