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Answers By Expert: Dr. K. Shivaram (Sr. Advocate)
Query

I’m trying to submit the details but due to some reason it is getting logged out also everytime in try to save it for draft its giving me error. I have tried to submit it 10 times but everytimes its getting logged out and also not allowing to save the details submitted.

What should be done in this case
Answer

It seems some technical error . It may be desirable to approach the  designated authority  ,they will be in a solve the issue .

 
Query

The assessment order was passed u/s 143(3). Appeal was filed with the CIT (A) before time limit. The appeal is pending as on 31.1. specified date. In between the filing of appeal and the specified date, the AO has enhanced the tax liability and passed order u/s154 rectifying the Assessment order. Enhancement pertains to addition u/s 68 on which max tax liability applied by rectifying the order by the AO. Kindly assist as to details to be filled in columns pertaining to the Disputed Tax figures in schedule A & mentioning section under which order passed in part B
Answer

As  we understand , after passing of the assessment order u/143(3), the AO has passed a separate order u/s 154  against which a separate appeal must have been field .   If the assesssee is settling the first appeal the assesssee may have to mention  u/s 143(3)  .If the appeal is to be settled for both the appeals then the section has to be mentioned , 143(3) ,rws 154  of the  Act .

 
Query

IN WHICH CPLUM TO PAY TAX
TAX ON REGULAR ASSESSEMENT OR
SELF ASSESSMENT
Answer

Regular assessment tax Code 400
Query

For AY 2011-12 Two appeal are filed one for Quantum appeal with ITAT and another for Penalty appeal with CIT(A). In filling Form 1 whether to show both separate line item and in which row to show penalty amount, in ITAT row or CIT A row
Answer

Penalty amount you may have to show row before CIT (A) . If there is any technical fault the application will not be rejected , the Designated authority may  inform the assessee to file the revised form . 
Query

For AY 2011-12, Quantum appeal is pending before ITAT and Penalty appeal is pending before CIT (A). Whether tax is to be paid under Vivad scheme for quantum demand only, or to pay for penalty also.
Also in the Form 1 penalty particular to be shown separate or in same row of ITAT appeal demand
Answer

Under VSVA, penalty and interest are waived. Therefore the declarant has to only pay the disputed tax amount. The same has also been clarified in FAQ No. 8 of CBDT Circular 9 of 2020 dated April 22, 2020.
Query

How to make correction in Form-3
Answer

Form 3 is not prepared by the Declarant; it is issued by the Department. One may have to approach the Department to rectify the same. There is no express provision for the same. The designated authority has the inherent power the rectify the mistake  . If the designated    refuses to rectify the mistake the assessee may have to file writ  before High Court .
Query

Hello Sir

Assessee received Form 3 for AY 2009-10 (assessees appeal pending before CIT(A)) without considering a judgment in his favour on similar issue in AY 2010-11 (Where Tribunal has reduced the disallowance from 12.5% to 5% of total allied bogus purchase).

We had calculated 50% of total Disputed tax …. but Department has calculated 100% of the disputed tax with the remark “the assessee has calculated the disputed tax under DTVSV scheme at Rs. 315340/-. the disputed tax as per the ssytem is calculated at Rs . 634157/-. the difference in the disputed tax is because the assessee has wrongly calculated disputed tax.

What should be done?
Answer

Fresh Form can always be filled. Further 50 percent would be to the extent of favourable order in the case of the assessee. Since the disallowance is reduced from 12.5% to 5%, the favourable order is to the extent of 7.5 per cent. 5 percent disallowance is still upheld. Therefore, in our opinion, the assessee will have to pay 5 + 3.25 (50% of 7.5%) i.e. 8.25 per cent of total alleged bogus purchases.

In the alternative, if the assessee approaches the Tribunal, the issue being a covered matter, the Tribunal is likely to uphold 5 percent. However, interest & penalty might be attracted.
Query

While filling form no 1 , it asks for the section under which the order was passed. The order was passed by the AO under section 143(3) and the last appellate order was passed by the ITAT u/s 254. The department is in appeal in the high court. Which section to select : 143(3) or 254.
Thanks
Answer

The Order to be settled under VSVA is the departmental appeal pending before the High Court, assuming the same was pending as on January 31, 2020. Particulars of the said High Court appeal is to be furnished.
Query

How to provide details of the payment made through set off the disputed penalty amount against refund of the subsequent assessment years in Part C
Answer

You may write the date of adjustment made by the revenue as per the intimation received by the asessee . In case of difficulties the assessee may approach the designated Authority
Query

HI, CAN WE REVISE FORM 3 AS PER NEW RULES. WE HAVE FILED THE FORM CORRECTLY WHICH WAS OKAYED AND PROCESS REACHED FORM-3. NOW IT0 IS RAISING A NEW DEMAND WEF 31.03.2020 . THIS DEMAND WAS NIETHER COMMUNICATED TO US AND IS ALSO NOT AVAILABLE ONLINE. ITO IS CREATING PRESSURE TO REVISE IT. WHETHER WE ARE BOUND TOREVISE IT. WHAT IF WE DONT DO THE SAME. CAN HE HARASS US BY OTHER WAYS.
Answer

You are at the liberty to file a fresh declaration under VSVA. There is no express bar from refiling.