Did proposal on tax treatment of savings lead to row in direct tax panel?

The government announced that it would exempt from tax all New Pension Scheme withdrawals

The finance ministry recently reconstituted the task force to draft a new direct tax law, appointing Central Board of Direct Taxes (CBDT) Member Akhilesh Ranjan convener of the committee.

This comes after reports suggested that the previous task force, headed by Arbind Modi, had failed to reach a consensus on a number of issues.

A possible sticking point could have been the Modi committee’s proposal on the tax treatment of savings, which entailed putting all long-term savings on exempt, exempt, tax (EET) mode as opposed to the exempt, exempt, exempt (EEE) category currently, Business Standard has learnt.

This politically contentious proposal is in