Tax Systems Reforms

An initiative to study and recommend improvements in India’s direct tax ecosystem, bringing certainty, timeliness, and minimising litigation.

ABOUT THE INITIATIVE

Why This Matters

Direct Taxes constitute a desirable and equitable way of generating revenue for the State. In India, the Direct Taxes component has risen to constitute almost half of the revenues of the Central Government. However, there has been an increase in stress in the form of uncertainty, agonisingly long timelines, and frustrating litigation.

Tax Arrears Crisis

Direct tax arrears exceed double the annual tax collections, creating a significant fiscal challenge.

Litigation Burden

Mounting litigation strains both taxpayers and the judicial system.

Business Impact

Reduced ease of doing business, distorted business decisions, and discouraged investment & entrepreneurship.

Systemic Imbalances

Complex laws, inconsistent enforcement, administrative limitations, and lack of early resolution mechanisms.

Our Mission

Reform of the direct tax ecosystem is essential to ensure a fair, predictable, and user-friendly tax environment. This initiative aims to create actionable pathways for reform to strengthen public institutions while making them sensitive to the needs of businesses and citizens.

INAUGURAL EVENT

The Round Table

November 13, 2025

Bengaluru

Watch the session on YouTube

“Certainty and Timeliness in Direct Tax Matters” – A landmark gathering of eminent jurists, practising professionals, veteran IRS officers and researchers.

Our Chief Guest, Hon’ble Justice K V Aravind, Judge of the Karnataka High Court, emphasised:

The critical need for a collaborative approach and dialogue mechanism between all stakeholders and importance of continuous capacity building for departmental officers; and
Strategic focus on selecting the best cases for judicial interpretation to minimise disputes and enable early resolution, as well as innovative case management practices

Rich multi-stakeholder dialogue, participants engaged in constructive discussions exploring: Root causes, Systemic challenges, Dispute resolution, and Priority interventions.

STRATEGIC PARTNERSHIP

DAKSH X Esperti Fiscali

DAKSH, India’s leading think tank focused on law and justice system reforms, has partnered with Esperti Fiscali, an advisory platform set up by IRS veterans, to launch this comprehensive study.

This initiative extends DAKSH’s commitment to critical stakeholder groups and aims to reform specialised dispute resolution mechanisms in areas like tax, essential to reducing the burden on India’s broader judicial system.

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