| Query | One search case which was not eligible for VSVS in January as the demand in dispute was more than 5 cr. Last month CIT appeal order has come and now dispute is less than 5 cr. So as on announcement date of scheme the case was not eligible. Now if the criteria remains the same the assessee is eligible. |
| Answer | According to us No, only appeals pending or deemed appeals as on the specified date are eligible for VSVA. |
| Query | My case is the non search case then also i am getting the query of “Please enter the amount payable under DTVSV on or before 31.12.2020 in search case of Schedule AI” “Please enter the amount payable under DTVSV after 31.12.2020 in search case of Schedule AI” what to do, kindly help me out |
| Answer | In case of any technical glitch on the portal it is advisable to contact the designated authority under VSVA at the earliest. |
| Query | We have uploaded Form 4 after we have received form 3 showing refund amount and we have withdrawn CIT Appeal and received order under section 250 from CIT now the query arise as we have received signed copy from CIT 3 showing refund in June but due to panemadic we uploaded form 4 in September withdrawing CIT Appeal but not yet received form 5 will their be any problem |
| Answer | According to us there should not be any problem. The assessee will get the intimation in due course of time . Assuming the designated authority finds any discrepancy in the form they have to give a reasonable opportunity of hearing before rejecting the application under VSVA . |
| Query | Sale Deed of property was executed suppose in Jan 2017. Payments were made by six cheques dated 07.01.2017, 07.02.2017, 07.03.2017, 07.04.2017, 07.05.2017, 07.06.2017. All the details of cheques were mentioned in Sale Deed. The property was purchased long time back. It is a case of long term capital gain. My query is whether the sale will be considered in F.Y. 2016-17 (AY 2017-18) or in F.Y. 2017-18 (AY 2018-19). As the last cheque was encashed in F.Y. 2017-18 so capital gain should be considered in A.Y. 2018-19. Please Clarify |
| Answer | One has to read the clauses in the agreement and has to see is there any right of revocation if the full consideration is not paid . One ha sto see when the sale deed in registered and possession was given . If possession was given on receipt of full consideration ie om 7 -6 2017 , it will be taxable in the AY. Year 2018 -19 . if possession was given on 7 -1 2017 it may be taxable in the AY 2017 -18 though the amount was received in instalment . In Chaturbhuj Dwarkadas Kapadia v.CIT (2003) 260 ITR 491/ 129 Taxman 497 /180 CTR 107 (Bom.)(HC) the court held that considering the terms of the agreement the court held that date of agreement of development rights is relevant date for determination of capital gains.
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| Query | Under what section of the VSV act is tax payer not allowed to file VSV if his pending appeal at the specified date has now be ruled in merit against him. What is the legal view in law. I think there is a loophole created by covid as VSV filings have been extended. |
| Answer | The scheme is very clear the appeal must be pending as on specified date .ie 31 -1 2020 or time for filing an appeal has not expired . The Govt has extended the scheme up to 31 -12 -2020 without paying any interest or penalty . The specified date remains the same. The designated authority may reject the application . In case of genuine hardship or due to unavoidable circumstances it was not possible to comply one may have to approach the High Court by filing writ petition under Art, 226 of the constitution . |
| Query | My ITAT appeal was pending as on specified date. In Sep I got an unfavorable order by the ITAT on merit. Am I eligble to VsV to save penalty and interest as the rules prescribe that the appeal should be pending as on specified date and did not envisage a situation when VsV scheme got extended and lot of appeals will be adjusidicated between Jan 31 2020 and 31 Dec 2020. |
| Answer | If your appeal is already heard any adjudicated by the ITAT, you are not eligible under VSVA. Unless you have intimated the ITAT about your intention to avail the Scheme in writing, and the ITAT still proceeded to adjudicate on merits. If the appeal was decided ex -prate without giving an opportunity of hearing the assseessee a Miscellaneous application can be filed before the Appellate Tribunal . In case the miscellaneous application is allowed the , assessee can avail the benefit of the VSVA scheme . When a miscellaneous application is allowed appeal relates back to the date of filing
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| Query | Respected Sir |
| Answer | You may have to find out when was the last date for filing an appeal before the High Court. As per S.260A(2)(a) of the Act the time limit is 120 days from the date of receipt of the Order. However as per Section 260A (2A) the High Court has the power to condone the delay in filing of an appeal . It may be desirable to file an appeal with application for condonation of delay . if High Court condones the delay the asseee can avail the benefit of the VSVS
As per CBDT vide F.No. IT(A) I /2020 -TPL Circular No. 9 of 2020 dated 22, April at Q. No 24, which reads as under: If the appeal is filed before High Court and is pending for admission as on 31 -1 -2020, whether the case is eligible for Vivad Se Vishwas ? Ans. “ Yes”
As per Section 2(1) (a) (i) , and 2 (1)(a) (ii) of the VSVA, an ‘appellant’ means, a person in whose case an order has been passed by the Assessing Officer, or an order has been passed by the Commissioner (Appeals) or the Income Tax Appellate Tribunal in an appeal, or by the High Court in a writ petition, on or before the specified date, and the time for filing any appeal or special leave petition against such order by that person has not expired as on that date; The word “Order” is not defined under the Act . According to me the same principle will apply to Writ also .
On the facts the writ was not pending as on 31-1 -2020 . Accordingly the asseessee may not be able to take advantages of the VSAV in respect of writ filed after specified date ie .31 -1 -2020 .
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| Query | The CIT(A) accepted the contention of the taxpayer and deleted the disallowance made by the Assessing Officer. The Revenue preferred an appeal before the Income Tax Appellate Tribunal. If we opt for the VsV scheme, since the disallowances have been deleted by the CIT(A), would the taxpayer still be liable to pay taxes as per the order of the Assessing Officer or the decision of the CIT(A) form the base of payment of tax. |
| Answer | As first proviso to section 3 of VSVA, on departmental appeal, the declarant-assessee has to only pay half of the amount under VSVA i.e. 50 percent of the disputed tax amount and not as per the assessment order. |
| Query | Respected Sir, Since one of my appeals, though pending in ITAT, as on 31.01.2020, was decided against me after 31.01.2020.As the law is very clear that the appeal should be pending as on 31.01.2020, which in my case is true. However, while filing Form 4 of VSVS, it wants the proof of withdrawal (while the Act says in ITAT, it will be deemed withdrawal). However, since my appeal has been already heard, how can I file this withdrawal proof. |
| Answer | If your appeal is already heard and adjudicated by the ITAT, you may not be eligible under VSVA. Unless you have intimated the ITAT about your intention to avail the Scheme in writing, and the ITAT still proceeded with the case. Please verify whether the order is signed by the Honourable Members . If the order is not signed and not pronounced , it can be presumed to have been pending . The assessee can write to the Honourbale ITAT not to pass the order . In such circumstances the assessee can avail the benefit of VVSA. If the appeal is decided ex -parte without giving an opportunity of hearing the assseessee a miscellaneous application before the Appellate Tribunal . In case the miscellaneous application is allowed the , assessee can avail the benefit of the VSVA scheme |
| Query | We have a disputed penalty case pending at high court. I filled Schedule C for disputed penalty. But at the time of upload it is showing an error that Schedule A or Schedule D needs to be filled. There are no details of unabsorbed depreciation or loss or MAT credit in my case. Please help. |
| Answer | From what we understand, Quantum dispute is paid by the assessee and Penalty matter is before the High Court. Penalty can be settled by paying 25 per cent of the penalty in dispute. In case of any glitch or technical issues on the portal it is advisable to contact your designated authority under VSVA. |