Direct Tax Code bill is a big boon for taxpayers, says G. Ananthakrishnan, partner, BDO (an international accounting firm), Hyderabad.
Speaking at the inaugural of a seminar on DTC bill organised here on Thursday by the Confederation of Indian Industry (CII), he said it would put an end to the cumbersome process and contradictory interpretations of various provisions in the Income Tax Act.
The bill, which got the Union Cabinet nod, will become an Act after it is adopted in both Houses of Parliament and comes into force from April 1, 2012. It replaces Income Tax Act of 1961 and Wealth Tax Act of 1957.
Mr. Ananthakrishnan said the bill was aimed at simplifying the procedure. “It is a genuine attempt to simplify the language and avoid the contradictions by eliminating the number of sections and pages. There is no cross references. It is very lucid to understand due to easy language,” he pointed out.
It would bring a paradigm shift at what the industry and the trade was looking at, he opined and welcomed it for bringing all direct taxes into one classification.
Prashant Maharshi, another partner of BDO from Ahmedabad, said the bill would lead to more tax compliance due to simplified procedures.
Visakha Container Terminal COO Sriram Ravi Chander said reduction in litigation due to simplification and reduction in pages and sections was a welcome development.
CII Vizag zone chairman R.V.S. Raju presided. Senior manager (taxation), BDO, Hyderabad, Shyam Nori and CII Vizag centre head Vinay Iyer spoke.