The ICAI has submitted its “Pre-Budget Memorandum 2023 on Direct Taxes (Including International Taxation),” containing 241 suggestions, to the Ministry of Finance, Government of India, for consideration in formulating Budget 2023 tax proposals for the fiscal year 2023–24.
The general focus of the ICAI recommendations, which are broken down into various chapters, is on enhancing tax administration, collection, and compliance, lowering litigation, rationalising the provisions of various tax laws, removing procedural and administrative hurdles, launching new initiatives, preventing tax avoidance, etc. The ICAI’s recommendations on direct taxes (including international taxation) in the Pre Budget Memorandum 2023 can be broadly grouped under the following headings:
i) Part A : Suggestions relating to the policy & provisions of Income-tax Act, 1961;
ii) Part B : Suggestions for improving Tax Administration and Citizen Services; and
iii) Part C : Suggestions pertaining to International Taxation.
Additionally, the ICAI’s recommendations for the government’s consideration regarding the GST and indirect taxes are currently being finalised and will be submitted in due course.
Previously, on September 23, 2022, the ICAI invited comments and suggestions from Members and other Stakeholders for inclusion in the Pre Budget Memorandum 2023 on issues/concerns relating to Direct Taxes (including International Taxation) and Indirect Taxes (including GST, etc.), with a deadline of 10/10/2022.
As part of its annual exercise, ICAI had invited suggestions for Pre-Budget Memorandum 2023 in areas such as broadening the tax base and increasing tax revenue, countermeasures for tax avoidance, reducing/minimizing tax litigations, rationalisation of the provisions of Direct/Indirect Tax Laws, removing administrative and procedural difficulties, and so on.
It should be noted that the ICAI carefully considers, gathers, and supplements the recommendations from various stakeholders each year and promptly submits them to CBDT/CBIC for the Government of India to take into account when drafting the tax proposals for the upcoming Budget, which is currently Budget 2023.
ICAI’s Pre Budget Memorandum 2023 dt. 08/12/2022: Direct Taxes (Including International Taxation)
ICAI’s Pre Budget Memorandum 2022 dt. 23/11/2021: Direct Taxes (Including International Taxation)
ICAI Invites Suggestions for Pre-Budget Memorandum 2024
The ICAI has invited suggestions for the Pre-Budget Memorandum for 2024, as part of the process to identify critical issues to be addressed in the 2024 Pre-Budget Memorandum, aimed at submission to the Ministry of Finance.
You can submit any insightful suggestions relating to Direct Tax laws, including those pertaining to International taxation, including but not limited to following aspects:
i) Direct Taxes, inclusive of International Taxation;
ii) Innovative concepts for broadening the tax base, resulting in increased tax revenue;
iii) Effective strategies to counteract tax avoidance;
iv) Methods to minimize litigations, promoting an efficient justice system;
v) Rationalization suggestions for Direct Tax Laws provisions, in order to ensure their ongoing relevance and effectiveness; and
vi) Suggestions on eliminating administrative and procedural difficulties, contributing to a smoother tax system.
ICAI has provided a convenient online link where suggestions can be submitted:
To ensure that your insightful suggestions are taken into consideration, please submit your suggestions latest by 10th October, 2023.
Related Posts:
Finance Act, 2022 notified by Govt.
ICAI’s Post Budget Memorandum 2022 on Direct/ Indirect Tax Proposals