Re: DECLARATION UNDER VsVS
1. The assessee is before CIT(A) against certain additions U/s. 68 say 10 Lakhs as on 31.01.2020.
There is a mistake in calculating 10 Lakhs ; hence petition U/s. 154 is filed and the same is pending today.
Now the AO rectify the mistake and the addition is restricted to 6 Lakhs only.
The assessee will file Declaration under VsVS for 6 Lakhs ?
2. The appeal is pending before CIT(A) as on 31.01.2020 against
2 following additions say
First Addition 3 Lakhs
Second Addition 5 Lakhs.
THE CIT(A) passes appellate order now deleting addition of Rs.5 Lakhs.
The declaration are to be filed for 3 Lakhs only ?
3. There is an addition of Rs.5 Lakhs U/s. 69 for the A Year 2013-14 and set off of losses are not allowed.
Assessee has filed petition U/s. 154 as per the Board Circular that such set off is allowable upto A Y 2016-17.
Now the rectificatory order is passed U/s. 154 allowing set-off of losses and cancelling the demand but penalty proceedings are pending. Hence, assessee can file declaration under VsVS for set off of losses so that the issue is settled.
4. The AO has given appeal effect U/s. 251/254 for the issues deleted by the appellate authorities but no effect is given for the issues setaside for verification. Assessee has filed petition u/s. 154 and the same is pending. Can assessee file declaration under VsVS accepting the additions pending for adjudication.
Thanking you
CA Shyam Poddar
9437052422/9583052422
First case: Yes, assessee can file declaration for only 6 lakhs under VSVA. Please refer Circular no 9 of 2020 dt. 22-04 -2020 Q. No 50. The CBDT clarified that the AO will pass the rectification order .
Second case: Yes, assessee will file declaration for only 3 lakhs. Provided, there is no departmental appeal. (since the numbers provided are for assumption purposes, implications of pecuniary jurisdiction on departmental appeals have cannot be considered)
Third case: The assessee can avail the benefit of the Scheme and get immunity from imposition of penalty, provided there is an appeal or deemed appeal pending on the specified date.
Fourth case: From what we understand from your query, matter has been set aside by the ITAT to the AO. There is no appeal pending on the specified date. However, the assessee can avail the benefit of the scheme if the assessee has a deemed appeal as per section 2 (1)(a) (ii) of VSVA.
1. The assessee will file Declaration under VsVS for 6 Lakhs. Pl refer to FAQ. Rs.6 Lakhs.
2. If the order of CIT(A) is passed after 31.01.2020, the declaration needs to be filed for Rs.5 Lakhs
3. In my opinion, disputed in respect of penalty can not be settled inasmuch as there is no addition which is in dispute. The penalty as such, being yet to be levied, no question of it being in dispute as on 31.01.2020
4. Best course of action would be to get the rectification done from the AO. In the alternative reference can be made to Answer to Q.No.7 of FAQ. Assessee is eligible under VSVS. The disputed tax would be as if the additions in respect of which the matter is set aside are repeated by the AO.