New Direct Tax Code pushed by a year

New Delhi: The Direct Tax Code (DTC) will now come into effect a year later. It will be effective from April 1, 2012.

Finance Minister Pranab Mukherjee said: "The DTC has been laid on the table of the House. Thereafter, it will go to the appropriate committee. After that, it will be discussed and after obtaining the committee report it will be discussed in the next session, I hope."

As reported, the tax exemption limit has been increased to Rs 2 lakh from Rs 1.6 lakh earlier. The exemption for senior citizens is Rs 2.5 lakh.

There will be three tax slabs on short-term capital gains — 5%, 10% and 15%.