Seeking to overhaul the over 50-year old income-tax law, Cabinet, in its meeting today is likely to consider the Direct Taxes Code (DTC) Bill, with minor changes in the draft, including in the income-tax slabs, reported PTI.
According to the media reports, the exemption limit at Rs 2 lakh for individual tax payers is unlikely to be touched, but a new slab of 35 per cent may be introduced for the super-rich. Besides, Minimum Alternate Tax (MAT) may be levied on book profit and not on gross assets, sources said. Further, the Securities Transaction Tax (STT) is likely to be retained, as against the recommendation of the Standing Committee on Finance that the levy be abolished.
The DTC bill was introduced in the Parliament in 2010 and aims to rationalise tax rates to bring more people and companies under the tax net.
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