DTC panel seeks to curb tax litigation; charitable trusts may face the heat

Voluntary settlement norms being considered; charitable trust may face heat

India’s direct taxes code (DTC) is likely to introduce a mechanism to reduce litigation in the country and bring it in line with the best practices internationally.

However, charitable trusts may face the heat because the task force developing the DTC is planning to tighten exemptions to them, following developments such as withdrawing tax exemptions from the Sir Dorabji Tata Trust.

A senior government official privy to the development said these were two key areas that would see overhaul but would not affect revenue collection.