In a bid to reduce tax uncertainty and disputes, Finance Minister Nirmala Sitharaman has proposed significant changes to the reopening and reassessment provisions in the Union Budget for 2024-25.
As per the proposed changes, assessments can only be reopened beyond three years from the end of the assessment year if the escaped income is Rs 50 lakh or more, and only up to a maximum period of five years. In search cases, the time limit has been reduced to six years before the year of search, down from the existing 10 years.
Also Read: Government Exempts Customs Duty On Three Cancer Drugs, Oncologists Hail Move
The Finance Minister emphasized the government’s commitment to reducing pendency of appeals and announced plans to deploy more officers to hear and decide first appeals, especially those with large tax effects. To resolve pending income tax disputes, she proposed the Vivad Se Vishwas Scheme, 2024.
Additionally, the monetary limits for filing appeals related to direct taxes, excise, and service tax in Tax Tribunals, High Courts, and the Supreme Court have been increased to Rs 60 lakh, Rs 2 crore, and Rs 5 crore, respectively. The government also plans to expand safe harbour rules and streamline transfer pricing assessment procedures to reduce litigation and provide certainty in international taxation.
These proposals aim to reduce tax disputes, provide certainty, and promote a more efficient tax system.
They staged demonstrations in Bengaluru and district headquarters, demanding the fulfilment of several long-pending demands.
Adani Electricity Mumbai intensified its crackdown on power theft in FY25, filing 1,166 FIRs &…
PM Modi receives a Grand Welcome In Brasilia with Shiva Tandava Stotram alongside vibrant Brazilian…
The Adani Group releases its latest film Story of Suraj, showcasing how solar power is…
Several MNS workers were detained amid the Maharashtra Language Row after protesting the Slapgate assault…
The AAIB has submitted its preliminary report on the Air India Flight AI 171 crash…