Making room for big ideas on taxes

The new tax code should aim at widening the tax base with bold actions

Based on Prime Minister Modi’s observation that the present Income Tax Act needs to be redrafted in consonance with economic needs, the Ministry of Finance has in its brief proposed drafting a new Income tax code, keeping in line international best practices. However, the official communique sets out the task force’s responsibility to submit its report within  six months. It is unclear if the mandate is to merely make recommendations on the new code or draft the new code. If it is the latter, it is a tall order to accomplish drafting the code in such a short period, given