Tax Experts Urge for Faster Appeals, MSME Relief, and Selective Case Settlement
📅 Date: October 28, 2024
📂 Categories: #TaxNews #FinanceUpdate
⌛ Read Time: 4 Min
Tax experts have emphasized the need for expedited appeal resolutions, reduced compliance for MSMEs, and provisions for settling select litigation cases amid the ongoing overhaul of the Income Tax Act, 1961.
🔹 Key Proposals:
- Faster Appeals Process: With over 580,000 cases pending at the Commissioner of Income Tax (Appeals), experts recommend a phased resolution within the next 1-2 years, suggesting an increase in adjudicating officers to ensure timely hearings.
- MSME Payment Compliance: The 45-day payment rule, per the Finance Act 2023, mandates prompt payment to micro and small enterprises. However, experts argue it imposes undue compliance burdens on businesses, calling for CBDT-issued FAQs to clarify complexities.
- Selective Case Settlement: An amendment in Section 270AA could allow taxpayers to settle select disputed orders, easing capital constraints and providing flexibility.
- Carry Forward Tax Losses Across Sectors: Experts suggest Section 72A should extend loss carryforward benefits beyond industrial sectors to include services, eliminating differential treatment and supporting business continuity.
These recommendations, if implemented, could streamline tax administration, reduce disputes, and provide relief for small businesses.
IncomeTaxUpdate #MSMECompliance #TaxRelief #AppealProcess #BusinessSupport
