Written by: ForumIASPosted on Last modified on Comments
In Budget 2019-20,Government had announced the Sabka Vishwas legacy Dispute Resolution Scheme,2019.The Scheme has now been notified and will be operationalized from 1st September 2019.
The objective of the scheme is to free the large number of small taxpayers of their pending disputes with the tax administration.
The two main components of the Scheme are dispute resolution and amnesty.
The dispute resolution component is aimed at liquidating the legacy cases of Central Excise and Service Tax that are subsumed in GST and are pending in litigation at various forums.
The amnesty component of the Scheme offers an opportunity to the taxpayers to pay the outstanding tax and be free of any other consequences under the law.
For all the cases pending in adjudication or appeal in any forum – this Scheme offers a relief of 70% from the duty demand if it is Rs.50 lakhs or less and 50% if it is more than Rs. 50 lakhs.
The most attractive aspect of the Scheme is that it provides substantial relief in the tax dues for all categories of cases as well as full waiver of interest, fine, penalty.There is also a complete amnesty from prosecution