The government has set up a Tax Administration Reform Commission (TARC) under Parthasarathy Shome, adviser to the Finance Minister for an 18 months term.

The commission includes Y G Parande and Sunita Kaila as full-time members, M K Zutshi, S S N Moorhty, M R Diwakar and S Mahalingam as part-time members.

The committee, which was proposed by the Finance Minister P Chidambaram in Budget 2013-14 seeks to review the application of tax policies and tax laws and submit periodic reports that can be implemented to strengthen the capacity of the tax system.

The committee will review the existing mechanism and recommend appropriate organizational structure for tax governance. The committe will also look into the existing mechanism of dispute resolution covering time and compliance cost and recommend measures for strengthening the same.