The Union Cabinet has given ex-post facto approval for the government amendments to the Finance Bill, 2021 (enacted on March 28, 2021 as the Finance Act, 2021).
The decision was taken at the Cabinet meeting, chaired by Prime Minister Narendra Modi, on Tuesday.
The amendments were essential to clarify and rationalise the proposals further and address stakeholders' concerns arising out of amendments proposed in the Finance Bill, the government said in a media release.
Notably, the amendments to the bill shall provide equity and inclusiveness to all the taxpayers by addressing stakeholders' concerns arising out of amendments proposed in the bill.
Also, the government amendments to the bill are tax proposals that shall generate "timely revenue for the government and streamline existing provisions by addressing grievances of the taxpayers".
"The Finance Bill, 2021 doesn't envisage any increase in taxation particularly in direct taxes and income tax. It has some amendments towards achieving a reduction in compliance aimed at ease of doing business. An approach is similar for customs and indirect taxes," Union Finance Minister Nirmala Sitharaman had said in the Parliament when the bill was passed in March.
The Finance Bill, 2021 gives effect to the financial proposals of the central government for the financial year 2021-22. (ANI)