Re: APPLICATION UNDER SECTION 264 DISMISSED AFTER FILING APPLICATION UNDER VIVAD SE VISHWAS

Dear Sir

Application under Vivad Se Vishwas Filed on 13.02.2021. FORM No. 3 issued on 03.03.2021. Application U/s. 264 disposed / dismissed on 03.03.2021 for which order from CIT office was received on 04.03.2021.

Since Form No. 3 issued on 03.03.2021, Can we make tax payment and file Form No. 4.

What proof of withdrawal of Application we should attach as Order was received on 04.03.2021

Is there any chance of revision of Form No 3 by DA

The assessee is eligible for the Scheme . Please refer Circular No. 21    dt.  4 -12 -2020   Q. No 56  and Answer given by the CBDT  wherein  the CBDT clarified that  even if the appeal is disposed bt the appellate Authority , still  the assessee is eligible . Please verify whether the application u/s 264 is rejected due to delay in filing the petition or otherwise . If the application   is rejected for not condoning the delay it may not be advisable to make the payment .

The assessee has to file the receipt of application filed before the Commissioner .No other proof is required .

Please refer Section 5 (3) of the  Direct  Tax Vivad Se Vishwas Act , 2020, every order passed under  sub section 5(1) , determining the amount payable under this Act  shall be conclusive as to the matter stated therein and no matter covered by such order reopened in any proceedings under the Income -tax  Act -------Also refer   Uma Corporation v. ACIT & Ors. (2006) 204 CTR 282 / 284 ITR 67 (Bom.)(HC)  the Court held that  Income disclosed under VDIS for which certificate is issued by the authority. Reassessment proceeding in respect of such disclosed income is not valid. Also refer  Killick Nixon Ltd. v. Dy. CIT (2002) 258 ITR 627 / 125 Taxman1055/(2003)172Taxation373 / 178 CTR 387 (SC)  the Court held that once declaration is accepted  reassessment is not permissible .

 

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