Penalties have been levied on my client u/s 271A for not maintaining books of accounts u/s 44AA & also u/s 271B for not getting the said books of accounts audited u/s 44AB for the same assessment year. These proceedings have been initiated under separate notices issued under separate sections and as such are two different penalty proceedings. I wish to settle Penalty u/s 271A but continue to contest penalty u/s 271B. Is it possible to do so without impacting or influencing the outcome of the future proceedings u/s 271B due to acceptance and settlement of penalty u/s 271B.

Assessee is a Govt. salaried employee and in 2013 CBI filed a FIR against him and his spouce and the criminal case under Pmla is going on but no charge sheet is yet filed this . Assessee wife like to settle her pending case under Vivad SE Viswas. Is she is eligible to take benefit of Vivad SE Viswas.

CIT(A)-14 passed order on 29.11 .2019 for partly allowed of appeal. Appeal order received on 16.03.2020. Now assessee wants to file Form-1 of DTVSV (Vivad Se Viswas). Assessee has not filed any appeal before ITAT till now though scheduled date of filing is 14.05.2020. Assessee filled Part-B of Form-1 without re ferring ITAT filing acknowledgement as n ot filed before ITAT till now. But filled the last due date of filing. But asses see is unable to fill data in Schedule-I V of Schedule-B of Form-1 as it is in hide mode. As per sec 2(I)(ii) of DTVSV Act,2020, assessee should have been allow ed to fileForm-1, though appeal has not been filed till now as scheduled date o f filing appeal before ITAT is 14.05.2020 and it is not over till now. Pleas e tell how I can file Form1 of DTVSV Sailen Paul Mobile 943309085.

Your reply received:

Our research team tried filling up a draft form with your information and we are able to fill schedule-iV of B.
While filling up the form in Part B, under the head “Details of pending appeal/writ/SLP/ DRP objections/Revision application/Arbitration/Conciliation/Mediation”, in column no.5 (If yes, filed by), please state that the appeal is filed by Assessee.

My further query for not solving problem:

You have misunderstood my query. I told that assessee has not filed appeal before ITAT till now as CIT(A)’s order was received on 15/03/2020, though order passed on 29/11/2019, and scheduled date of filing appeal before ITAT is 14/05/2020. So column No. 5 cannot be filled. I filled the due date of column 4 only as due date of filing i.e. 14/05/2020. If I say appeal is filed then Acknowledgement no. and date of filing will have to be provided which is not possible. I think Form is defective one as if I did not fill column 5 with acknowledgement number with date of filing, Schedule B is not opening for filling data and it is lying in hiding mode.
Moreover as soon as I fill ‘No’ under column No. 3, Column-5 should be in hide mode as it is in applicable.

Please advise

is the cash siezed by department under seizer laying with department in PD Account, can be adjusted or treated to be paid through adjustment of PD Account

NO CASE FILED IN COURT OR NOTICE FROM COURT -BUT ON RECORD OF ASSESSEE ONLY LETTER FROM CIT FOR PROSECUTION –WHETHER HE CANOPT FOR VSV

IN original assessment under section 143(3) AO rejected books of account and estimated net profit @10 of turnover . On appeal CIT reduced the deemed profit from 10@ to 6 @ of turnover. Both assessee and department in appeal before ITAT . Now what is disputed tax and amount payable under Vivad se Vishwas scheme.

In case option not pay tax opted and income tax order relates to reduction of losses .In 143(3)order passed by ld AO, brought and carry forward lossess as per Income Tax Authority are not mentioned therein ,how these figures would be filled in S.no. D and E of Schedule D Annexure D of Form 1 of VSV .can we keep blank and upload form? Or is it mandatory?

A penalty u/s 271D has been imoposed and order served upon the assessee on 25.01.2020. The time to file appeal against such order as on specified date is not expired.

As per section 2 ‘disputed tax’ and ‘disputed penalty’ have been defined differently. While disputed tax includes cases where the order is served upon the assessee before the specified date i.e. 31.01.2020 and the time to file appeal against such order is not expired but it is not so in the case of disputed penalty.

Circular issued by CBDT wherein some FAQs are there and Question 20 relates to penalty which states that where there is an appellate order passed by the CIT (A) and the time to file appeal before ITAT is not expired such case is covered.

Relevant definitions and FAQ are reproduced herein below for ready reference.

Section 2(i) “disputed penalty” means the penalty determined in any case under the
provisions of the Income-tax Act, 1961, where—
(i) such penalty is not levied or leviable in respect of disputed income or
disputed tax, as the case may be;
(ii) an appeal has been filed by the appellant in respect of such penalty;
( j) “disputed tax”, in relation to an assessment year or financial year, as the case
may be, means the income-tax, including surcharge and cess (hereafter in this clause
referred to as the amount of tax) payable by the appellant under the provisions of the
Income-tax Act, 1961, as computed hereunder:—
(A) in a case where any appeal, writ petition or special leave petition is
pending before the appellate forum as on the specified date, the amount of tax
that is payable by the appellant if such appeal or writ petition or special leave
petition was to be decided against him;
(B) in a case where an order in an appeal or in writ petition has been passed
by the appellate forum on or before the specified date, and the time for filing
appeal or special leave petition against such order has not expired as on that
date, the amount of tax payable by the appellant after giving effect to the order
(C) in a case where the order has been passed by the Assessing Officer on
or before the specified date, and the time for filing appeal against such order has
not expired as on that date, the amount of tax payable by the appellant in
accordance with such order;
(D) in a case where objection filed by the appellant is pending before
the Dispute Resolution Panel under section 144C of the Income-tax Act as
on the specified date, the amount of tax payable by the appellant if the
Dispute Resolution Panel was to confirm the variation proposed in the
draft order;
(E) in a case where Dispute Resolution Panel has issued any direction
under sub-section (5) of section 144C of the Income-tax Act and the Assessing
Officer has not passed the order under sub-section (13) of that section on or
before the specified date, the amount of tax payable by the appellant as per the
assessment order to be passed by the Assessing Officer under sub-section (13)
thereof;
(F) in a case where an application for revision under section 264 of the
Income-tax Act is pending as on the specified date, the amount of tax payable by
the appellant if such application for revision was not to be accepted:
Provided that in a case where Commissioner (Appeals) has issued notice
of enhancement under section 251 of the Income-tax Act on or before the specified
date, the disputed tax shall be increased by the amount of tax pertaining to
issues for which notice of enhancement has been issued:
Provided further that in a case where the dispute in relation to an
assessment year relates to reduction of tax credit under section 115JAA or
section 115D of the Income-tax Act or any loss or depreciation computed
thereunder, the appellant shall have an option either to include the amount of
tax related to such tax credit or loss or depreciation in the amount of disputed
tax, or to carry forward the reduced tax credit or loss or depreciation, in such
manner as may be prescribed.

20. In a case there is no disputed tax. However, there is appeal for
disputed penalty which has been disposed of by CIT (Appeals) on 5th
January 2020. Time to file appeal in ITAT against the order of
Commissioner(Appeals) is still available but the appeal has not yet
been filed. Will such case be eligible to avail the benefit?
Yes, the appellant in this case would also be eligible to avail the benefit
of Vivad se Vishwas. In this case, the terms of availing Vivad se
Vishwas in case of disputed penalty/interest/fee are similar to terms in
case of disputed tax. Thus, if the time to file appeal has not expired as
on specified date, the appellant is eligible to avail benefit of Vivad se
Vishwas. In this case the appellant should indicate in the declaration
form that time limit to file appeal in ITAT has not expired.

Please guide as to whether such case of penalty u/s 271D where no appeal is pending as on 31.01.2020 would qualify for scheme. Thanks

Return under sec.153A filed withdrawing LTCG claimed u/s.10(38). Search Assessment Order passed u/s.153A r.w.s. 143(3) in November, 2017 assessing the entire sale proceeds of listed shares u/s.68 thereby, in effect, making an addition of the purchase price to the returned income. Penalty u/s.271(1)(c) initiated separately. Assessee filed appeal against the addition of purchase price only and charging of interest u/s.234A etc. due to delay in filing of return for the reason of belated supply of seized material. Penalty Proceedings u/s.271(1)(c) kept in abeyance by A.O. Appeal of the assessee partly allowed in respect of purchase price by CIT(A) in July, 2018 but interest was held to be mandatorily chargeable. Assessee filed an appeal before the ITAT in respect of interest only. In term of VSV, the assessee wants to avail of the DTVsV. What would be the fate of penalty proceedings u/s.271(1)(c) after DTVsV [though no appeal had been filed against penalty element on LTCG declared in return u/s.153A and the addition on account of purchase price deleted by CIT(A)]??

Dear sir, My case does not fall under Search/survey and hence Zero or NIL has been put against the information under this head.
While filing Form-1, error is generated saying incorrect figure.Please advise,how these columns should be dealt.
CA E.H.Ansari
9415354097
mail; ekku51@yahoo.in