It may be desirable to approach the designated Authority . Number of declarants are facing similar problems .

As per the scheme and FAQ 8, Circular No 9.  Dt. 22 -4 2020   , which reads as under ;

8.Q. Imagine a case where an appellant desires to settle concealment penalty appeal pending before CIT (A) ,while continuing  to litigate  quantum appeal that has travelled to higher appellate forum . Considering these are two independent and different appeals , whether appellant can settle one to exclusion of others ?. If yes , whether settlement of penalty will have any impact on quantum appeal ?     

Ans :If both quantum appeal covering disputed tax and appeal against penalty levied on such disputed tax for an assessment year are pending, the declarant is required to file a declaration form giving details of both disputed tax appeal and penalty appeal. However, he would be required to pay relevant percentage of disputed tax only. Further, it would not be possible for the appellant to apply for settlement of penalty appeal only when the appeal on disputed tax related to such penalty is still pending.

The answer is very clear .

As per  CBDT Circular No 18 of 2020 dt 28 -10 -2020  the  Cut -off  date for beneficial payment  under the VSV Act , 2020  is extended up to  31 -3-2021 .As per  CBDT Circular No 18 of 2020 dt 28 -10 -2020  the  Cut -off  date for beneficial payment  under the VSV Act , 2020  is extended up to  31 -3-2021 .

It seems the loss is  disallowed on account of genuineness  of transaction . Once the loss is held to be non -genuine the loss will not be allowed to be carried forward . The assessee will not be able to set off the loss in subsequent  years . If the transactions are genuine it may be desirable to contest in appeal

There seems to be technical error . It is desirable to approach the Designated Authority they will be able to guide and solve the issue .

If the issue is taken in appeal the CIT (A) has  to grant the relief .  If the said ground is not taken in appeal , you may raise the additional ground before the CIT( A), which is bound to consider . As per   Article. 265 of the Constitution of India  which provides that “No tax shall be levied or collected except by authority of law“. The collection of tax has to be also within the frame work of law. The Circular No. 14 (XL-35), dt. 11/04/1955, also states that a duty is cast upon the Assessing Officer  to assist and aid the assessee in the matter of taxation. Assessing Officers  are supposed to advise the assessee and guide them and not  take advantage of any error or mistake committed by the assessee or of their ignorance. The function of the Assessing officer  is to administer the statute with solicitude for public exchequer with an inbuilt idea of fairness to taxpayers. The scope of the above circular is explained in CIT v. Ahmedabad  Keiser-E. Hind Mills Co. Ltd  (1981)  128 ITR 486 (Guj.) (HC) (492), Parekh Bros v. CIT (1984) 150 ITR 105 (Ker) (HC) (118 ),  Dattatraya Gopal Sathe v. CIT (1984) 150 ITR 460 (Bom.)(HC) (463-464)

In Raghavan Nair  v. ACIT (2018) 402 ITR 400(Ker.)(HC),Capital gains wrongly shown in the return as taxable. Duty of Assessing Officer to refrain from assessing such income. No tax shall be levied or collected except by authority of law.

The assessee can request the AO to pass the rectification order which he  may pass in favour of assessee.

Yes, a deemed appeal is pending as on the specified date i.e. January 31, 2020. Therefore, the assessee is eligible for VSVA.

VSVA has not laid any provision to compel actual filing and the same cannot be assumed. Please reefer Q.No 56 and answer  Circular No 21 /2020 dt 4 -2 2020 Q. No 56: Appeal or arbitration is pending with appellate authority as on 31 St Jan 2020 (or time for filing has not expired as on 31St Jann 2020). However, subsequent to that date, and before filing of the declaration, the appeal has been disposed by the appellate authority. Whether it is eligible under Vishwas se Vishwas? If yes, how the amount under Vivad Se Vishwas shall be computed? Answer, Yes. Amount payable under Vishwas shall be computed with reference to the position of appeal or arbitration as on 31st January, 2020

There is no separate procedure for condonation of delay . On the facts of the assessee it seems the application for condonation of delay was filed along with the appeal .   Please refer   unreported judgement of Bombay High Court  Awantika Pratap Singh Morarji v Ashwin Kumar (CIT ) WP No 1691 of 2005 dt 9-07 -2014 dealing with KVSS  honourable High Court has directed the designated authority to grant the benefit of the scheme , when the delay was condoned by the Appellate Tribunal .  The assessee can file declaration under VVS .

The Act is silent on this issue; it can be assumed that the interest does not have to be refunded. As the collection only refers to disputed tax amount and waives interest. If the interest is  granted the revenue may pass an order for refund of interest . Our advice will be follow the method which is more beneficial to the assessee.  In case you desire to have a specific guidance  , you may approach the designated authority , they will be in a position to give the reply as per departmental view on the subject .

Please, refer No 34 Q Appeals against  assessment  order and against penalty  order are filed  separately  on the same issue   Hence  there are separate appeals for both .  In such case , How disputed  tax  to  be calculated?    Answer:   Please  see question no 8  . Further, it is clarified that if the appellant has both appeal against assessment order and appeal against penalty relating to same assessment pending for the same assessment year, and he wishes to settle  the appeal against assessment order (with penalty appeal automatically covered), he is required to indicate both appeals in one declaration form (Form  No I)   .

Reading the  answer to Q no 8 ,and  34 together once the quantum appeal is settled , penalty and interest will be automatically waived . If not levied it will be waived .

As per Section  6 of the Direct Tax Vivad Se Vishwas Act , 2020 ,  no penalty shall be initiated in respect of tax arrear  which is determined  and paid as per Section 2 (o) of the Act