Interaction with the Honourable Finance Secretary Dr. Hasmukh Adhia and Honorable Shri Sushil Chandra Chairman CBDT on 14th December 2017 at Mumbai
We are pleased to state that, for the first time, the Government has taken very positive step inviting the tax professional organizations and tax professionals to have very interactive meeting with Honourable Finance Secretary, to consider suggestions on the Direct and Indirect taxes as a part of the budget preparatory exercise for the Financial Year 2018.
On behalf of the Federation, Dr. K. Shivaram, Sr. Advocate, and Mr. Vipul Joshi, Advocate, presented the view of the Federation on Direct taxes, Mrs. Nikita R. Baddheka, Advocate, and C.A. Janak Vaghani presented the view of the Federation on GST. For attracting investments in India, one of the major road block is delay in disposal of matters before various forums. The Federation has suggested various conceptual suggestions.
Some of the important suggestions are as follows:
1. Accountability in tax administration.
2. All orders of the Commissioner may be made Appealable to Tribunal.
3. Single member of the ITAT may be authorized to decide the matter though the assessed income is more than 50 lakhs, if penalty, interest or addition may be less than 10 lakhs. Alternatively if assessed income, interest or penalty in dispute is less than Rs. 20 lakhs, the SMC may be authorized to decide the matter.
4. Direct appeal to Supreme Court from the order of the Tribunal where important question of law is involved which is affecting large number of assesses in various states.
5. E Benches of the Supreme Court linking all the High Courts and matters will be heard from the respective Court
6. Publishing all the issues pending before various High Courts by the CBDT.
7. Time limit to CIT( A) to pass the orders.
8. Advance ruling for resident assessee.
9. Special courts to deal with prosecution matters on Direct and indirect taxes in time bound manner.
10. Provisions regarding appointment of members of the ITAT on tenure basis may be deleted.
Suggestions by Others
1. Turnover limit of LLP may be increased and LLP may also be given an option to adopt presumptive taxation.
2. Transfer pricing provision may not be made applicable to non – residents and clarification may be issued for use of IPR which are registered in both the countries.
3. MAT provision may not be made applicable to Sick companies.
4. Dividend distribution tax may be removed or alternatively may be reduced.