Govt defends stringent provisions in finance Bill1 min read . Updated: 05 Mar 2013, 04:23 PM IST
Govt defends finance Bill’s stringent provisions such as checking tax evasion, says safeguards have been built in
New Delhi: The government on Tuesday defended some of the stringent provisions introduced in the finance Bill to check tax evasion, including powers of arrest and making certain offences non-bailable, and said adequate safeguards have been built in.
The tax department will meanwhile set up a committee to look into the Supreme Court judgement in the Fiat India case.
Last year, the apex court had ruled that Fiat India will have to pay excise duty on the basis of cost of production plus a notional mark-up, rather than on the selling price. This had led to concerns over excise levies among many companies such as those making automobiles and fast-moving consumer goods, which lower prices to capture market share.
Praveen Mahajan, chairperson of the Central Board of Excise and Customs, said the government will set up a committee in April to see if the concerns of industry and the Supreme Court judgement can be aligned. Mahajan was speaking at an interactive session organized by Federation of Indian Chambers of Commerce and Industry.