Page 20 - Seniorstoday Aug 2024 Issue
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the firm, then this will have to be subject to Asst. Year.
TDS. Search and Seizure provisions are also
Since there is so much litigation with the being amended. For a long time there
Income-tax Department, a Scheme called was a “Block Assessment Scheme”. This
“Direct Tax Vivad Se Vishwas Scheme” was then stopped. It is again being
2024 is being introduced. Under this reintroduced and now in the event of
Scheme assesses can go forward and Search and Seizure, the income of the last
settle many of their matters which are in 6 years plus the year of the raid will be
litigation. treated as one block and taxed at 60%. In
One other provision relates to reopening. certain cases, there can also be Interest and
The time for reopening of assessments penalty.
is now being changed. If the amount of The Income-tax Act has become extremely
estimated concealment is up to Rs 50 lakhs, complex. The Finance Minister announced
the assessments can be reopened within 3 that they will work on a new Income-tax
years from the end of the Asst. Year. If the Act or a major modification within the
amount of estimated concealment is more next six months. Let us hope this actually
than Rs. 50 lakhs then assessment could happened and that it is truly simple
be reopened in 10 years from the end of and rational and without unnecessary
the Asst. year. This is now being reduced distinction and areas of litigation!
to 5 years and 3 months from the end of the
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