Income tax lawyers want the Narendra Modi-government to make laws simple and lucid to improve compliance and save on the cost of litigation.

The tax practitioners feel the complicated language of the laws and the numerous rates and slabs often lead to litigation as the common man finds them difficult to understand.

A short and simple Direct Tax Code could help improve compliance too, the advocates added.

They also hoped that the new tax code, which will replace the existing act, will not be deferred again.

The task force set up by the finance ministry was supposed to submit its report by May 31 but the report was deferred by two more months.

“Recently, we have seen revolutionary changes in indirect tax laws. Changes are on the way even for direct taxes. It is expected that by the end of July, the 58-year-old income tax act will give way to the Direct Tax Code,” Supreme Court judge Indira Banerjee said at a seminar organised by the Income Tax Bar Association on Saturday.

“We all know that optimal tax collection becomes easier for the administration if taxpayers voluntarily pay up. This happens when tax laws and procedures are made simple. Our tax rules are complicated and almost with every budget there is some change. It makes the payment or even filing of forms difficult for the ordinary citizen,” she said.

Justice Pinaki Chandra Ghose and other senior advocates were also present at the event.

S.K. Tulsiyan, president of the Income Tax Bar Association, hoped the language of the laws would be simplified because he did not expect much change in the laws.

“In taxation there may not be much change because Parliament has covered almost all aspects of direct tax for maximising revenue,” he said.

He added that the current Act was too clumsy and a simpler language with a shortened Act could make it easier for the common man to understand.