Direct Tax Code 2010 Revised discussion paper released on 15.06.2010
The draft DTC along with the Discussion Paper was released in August, 2009 for public comments. The response from various stakeholders has been overwhelming and a number of valuable inputs have been received. CBDT has released the revised Discussion Paper on the draft Direct Taxes Code (DTC), which is being placed in the public domain to seek responses on the modified proposals.
Highlights of the New proposals are.
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MAT remain levied on the basis of Book profit and not as per Gross asset based.
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EEE(Exempt exempt continue on GPF,RPF,PPF,pension schemes adminstrated by pension fund Regulatory and development authority .Pure Life insurance produces and annuity schemes ,Plus product covered under EEE is also covered as EEE in new Direct tax code upto their present period.
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New ULIPs post DTC will not have EEE benefit. However, existing ULIPs will continue to get EEE benefit
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For employee : contribution up to a prescribed rate by employer to superannuation fund ,pension fund ,approved provident fund will not be added in employee's salary ,.
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Retirement benefit received by employee remain exempted up to prescribed limit.
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Status of Double Tax Avoidance Agreements vis-a-vis the domestic law
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Administration of the General Anti-avoidance Rule (GAAR)
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Taxation of income from house property on a presumptive basis.
- Tax treatment of capital Gains and tax treatment of non-profit organizations etc.
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