The government will finalize the revised draft of the Direct Taxes
Code (DTC) by next month, Union revenue secretary Sunil Mitra said. It
will then gather feedback from the public on the revised DTC, aimed at
simplifying the tax structure.
"It will be open for public
viewing and comments for 15 days and then the final draft will be
prepared," Mitra said at an interactive session here on Monday
organised by the Bengal National Chamber of Commerce Industry
(BNCCI).
While the government came out with the first draft of
DTC in August last year, it was supposed to be finalised by end of this
month.
According to the Union revenue secretary, the draft DTC
will be tabled during the monsoon session of Parliament and is likely
to become a law by the next budget session. "The trend in advance
corporate tax collection is good. It is also buoyant in case of the
indirect taxes like excise and customs duty. We have set a target of Rs
7.5 lakh crore of tax revenue (both direct and indirect) for 2010-11
and it will be revised if required. The total collection in 2009-10 was
around Rs 6.31 lakh crore," he said.
Mitra said the Centre will compensate states for any loss in revenue after GST is rolled out.