<h1>Tax litigation reduction: limit reopenings on audit objections and clarify capital gains treatment for shares, simplifying TDS rules.</h1> The Committee recommends statutory and administrative reforms to reduce tax litigation and simplify compliance: treat shares held beyond twelve months (unless declared stock in trade) as capital assets with gains as capital gains; amend Section 14A to deem economically taxed income (e.g. dividends after DDT and firm profits) part of total income and cap disallowances to claimed expenditure; align Section 50C with sale agreements fixing consideration and delete Section 56(2)(vii)(b)(ii)