New Delhi, Nov 12 (IANS): The tenure of a committee set up to suggest steps to sort out taxation problems faced by trade and industry has been extended by one year, the central government said on Thursday.

"The tenure of the committee, which was till November 25, is further extended for one year as per the office memorandum dated November 10," a finance ministry statement said.

"The high-level committee will continue to interact with trade and industry on a regular basis and ascertain areas where clarity in tax laws is required and will give its recommendations to the Central Board of Direct Taxes/Central Board of Excise and Customs for issuance of appropriate clarifications by way of circulars, instructions etc.," it added.

Headed by former chief economic advisor Ashok Lahiri, the committee has as its members Sidhartha Pradhan, a former member of Settlement Commission (Income Tax and Wealth Tax) and Gautam Ray, a retired director general (Audit), Customs and Central Excise.

The CBDT and CBEC will issue required clarifications, circulars and instructions within two months from the date of receipt of recommendations of the high-level panel, the ministry said.

In the Budget for 2014-15, Finance Minister Arun Jaitley announced the setting up of the committee to interact with trade and industry on tax laws. The committee gives half-yearly reports to the finance minister.