Tax Policy Council (TPC) and Tax Policy Research Unit (TPRU)
In first week of February, 2016, the finance ministry has set up two bodies viz. Tax Policy Council (TPC) and Tax Policy Research Unit (TPRU). The overall idea is to achieve more coherent approach to the making of tax policies and ensuring independent, multidisciplinary analysis of the proposals before decisions are taken.
Tax Policy Research Unit (TPRU)
The TPRU will be headed by Revenue Secretary. It will carry out studies on various topics of fiscal and tax policies. It will assist the TPC in taking appropriate policy decisions and shall prepare tax proposal and analysis of legislative intent. It will also take decisions on expected increase or decrease in tax collection and economic impact. It will comprise of officers from CBEC, CBDT as well as economists, researchers, statisticians and legal experts.
Tax Policy Council (TPC)
The TPC will help the government in identifying key policy decisions for taxation. It shall aim to have a consistent and coherent approach to the issue of tax policy. It will look at all the research findings coming from TPRU and suggest broad policy measures for taxation. The council will be headed by Union Finance Minister. It shall have 9 members – Minister of State for Finance, Commerce Minister, NITI Aayog Vice-Chairman, Chief Economic Advisor and Finance Secretary. It would also have secretaries from the department of Revenue, DEA, DIPP and Ministry of Commerce.
