Income Tax Law may be amended

Published June 3, 2003

ISLAMABAD, June 2: The government is considering various proposals to introduce further amendments in the new income tax law 2001 to make it more user-friendly.

A senior official told Dawn on Monday that a committee of senior officials has been constituted to give final touches to the proposals received from all the stakeholders.

These proposals, after vetting, would be incorporated in the new income tax law to be effective from July 1, 2003 through the finance bill 2003-04, the official said.

Elaborating, the official said that changes are mostly aimed at improving the editorial language of the new law and making explanations more understandable for the taxpayers.

The committee would also consider the proposals of reducing the litigation process in the dispute related cases, which resulted into harassment of the taxpayers.

The official said the introduction of self-assessment scheme would encourage voluntary compliance, which would reduce the chances of harassment.

For the effective implementation of the system, the official said the committee is also considering various proposals for improving the effectiveness of the present dispute resolution system not only to meet the difficulties arising under the present system but also to provide a needed adjustment to a modern self-assessment scheme.