New Delhi, financial Year change 2017: After the government hit high with the demonetisation move, Prime Minister Narendra Modi is planning yet another big overhaul, shifting the financial year to January and December, according to reports.
According to few reports, the Prime Minister has taken the issue of scrapping the income tax, currently running from April to March and is seriously looking to chalk-out the strategy to implement the new policy.
The government-appointed a panel, set up this July, headed by ex - chief monetary adviser Shankar Acharya, has recommended changing the financial year to January to December, which could end the 150-year old British tradition of April to March fiscal introduced by the British.
"The panel unanimously supported the move and feels that a shift is possible", Acharya said, adding that we have submitted our report to the central government minister Arun Jaitley earlier this week. "
If the government changes its financial year, the Tax Work and Companies act need to be amended.
Besides Acharya, an Oxford- and Harvard-educated economist, the other panel members included former cabinet secretary KM Chandrasekhar, former Tamil Nadu finance secretary PV Rajaraman, and Rajiv Kumar, a senior fellow were part of this research team.
Experts are divided on the committee's proposal.
"In the first 12 months of any such changes, typically, things do not remain comparable. People have to compare 12-month data with nine months, which will be challenging. The government will need to ensure that whenever it changes, the financial year is applicable for everyone, "Garg added.
However whether or not such an overhaul will be carried out will depend on cosiness level of the government.
You may also like to read our latest analysed news:
- Fake news check: Mullaperiyar Dam In Kerala About To Break
- Hundreds of rescue teams aided by more than 90 aircraft and 500 motorboats
- CBDT issues Circular on amendment of Tax Audit Report
- PM visits Kerala, reviews relief and rescue operations
Note: If you like being among the first to know about latest news, trending hoaxes, fake news etc, consider giving us a like on facebook or follow us on twitter (@myayupp)