5 Tax Proposals FM Jaitley should implement in Budget 2016
As FM Arun Jaitley takes the hot seat on February 29th to present Budget 2016-17, taxpayers are on tenterhooks about what lies in store for them. The last one year has seen the government taking swift and significant steps in streamlining tax policy and administration in line with its commitment to ensure a non-adversarial and predictable tax regime. Some noteworthy examples are formation of the IT Act Simplification Committee, introduction of the Black Money Act, implementation of the FATCA agreement with USA etc. However, there are still a plethora of issues – both pending and half addressed – like the fate of GST, implementation/deferral of ICDS & POEM, that await a tangible solution. Further, with the BEPS final reports delivered by OECD in October 2015, it is expected that this year’s Budget will witness the entry of international BEPS proposals into our domestic tax legislation.
Given the present scenario, what are the 5 immediate action items that FM needs to implement vis-à-vis the tax front in this budget?