The federal government has prolonged the final date for availing the direct tax dispute decision scheme until December 31, 2020, the finance ministry notified on Tuesday.
Taxpayers prepared to settle their tax disputes beneath the Direct Tax Vivad se Vishwas Act can file their declarations until December 31, and shall be mandated to pay the settled tax quantity by March 31, 2021, with an entire waiver of curiosity and penalty. After April 1, 2021, a 10% greater quantity must be paid.
Additional, the place arrears relate to disputed curiosity or penalty solely, then 25% of the quantity is to be paid by March 31, 2021 and 30% after April 1, 2021.
The extension has been offered “in an effort to present additional reduction to the taxpayers desirous of settling disputes beneath the scheme,” the Central Board of Direct Taxes (CBDT) stated.
Finance secretary Ajay Bhushan Pandey has requested tax officers to expedite the Scheme which, he stated, is very helpful to the taxpayers, after reviewing the progress made to date by the revenue tax division on the scheme in a excessive stage assembly on Tuesday.
“We have to advance the Vivad se Vishwas Scheme with better persuasion and perseverance and should attain out to the taxpayers to facilitate all essential handholding,” he stated.
Within the assembly, ideas and feedback of the sector officers had been additionally mentioned concerning the motion plan for profitable implementation of the Scheme in a time certain method.
The scheme supplies immediate disposal of the dispute with no additional price of litigation in addition to financial advantages within the type of waiver of penalty, curiosity and prosecution.
CBDT chairman PC Mody talked about the significance of cleansing up of demand for facilitating and persuading the taxpayers for submitting declarations beneath the scheme.
He emphasised on principal chief commissioners of revenue tax to hold out all doable actions resembling disposing pending rectifications, giving pending attraction results, eradicating duplicate calls for, and so forth. in order to reach at a last demand for every assessee in order that every time a taxpayer recordsdata Type 1 or 2 beneath the Vivad se Vishwas Scheme, the principal chief commissioners of revenue tax involved is able to problem Type three promptly.
The progress of the scheme will now be reviewed each fortnight.
Over 35,074 taxpayers have opted for the Direct Tax Vivad Se Vishwas Act since its enactment until September 8, 2020, minister of state for finance Anurag Thakur stated in a written response to Rajya Sabha lately.
“The income generated until date by means of the Act is Rs 9,538 crore. This determine doesn’t embrace the funds made by the taxpayers who’re but to file their declarations beneath the Scheme,” he stated.
Source : Financial Express