The Task Force formulated by Ministry of Finance was assigned the task to draft direct tax laws in line with the norms prevalent in other countries, incorporating international best practices and keeping in mind economic needs of the country. The discussion on these reforms started in September 2017, when Prime Minister Narendra Modi acknowledged that more than half a century old Income Tax Act needed to be re-drafted and a new Direct Tax Code be introduced.
The Task Force, under the convenorship of Akhilesh Ranjan, Member (Legislation), Central Board of Direct Taxes (CBDT) was scheduled to submit its report on the new tax laws by February 28, 2019. However, it has now sought extension of three months to incorporate suggestions and submit its final report.
We shall keep you posted on further developments in this regard.