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    Comparative Legal Analysis of the DRP Mechanism : Clause 275 of the Income Tax Bill, 2025 Vs. Sectio...
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    Act RulesBills
    Comparative Legal Analysis of the DRP Mechanism : Clause 275 of the Income Tax Bill, 2025 Vs. Sectio...
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    Dispute Resolution Panel mechanism: statutory draft-order review with binding, reasoned directions and strict timelines for tax variations.
    Clause 275 establishes a DRP mechanism requiring the AO to forward draft assessment orders with prejudicial variations to eligible assessees; assessees have thirty days to accept or object. The DRP, a collegium of three senior officers, may issue written, reasoned directions (confirming, reducing, or enhancing variations) within nine months; such directions are binding on the AO. The clause updates cross-references, vests rule-making power in the Board, and excludes specified proceedings and persons, while omitting an explicit statutory scheme for faceless DRP proceedings.

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