Re: Eligibility under VSV when SCN u/s. 263 is issued but order yet not passed
Assessment u/s 143(3) r.w.s 147 has been completed making certain additions against which assessee has filed an appeal before CIT (A) on 24/01/2018, which appeal is still pending.
However, during the pendency of appeal, the CIT (jurisdictional CIT) has issued a show cause notice dated 11/03/2020, proposing to revise /set-a-side the assessment order.
It may be clarified that proceedings u/s 263 of the I.T. Act have yet not been carried out further.
Sir, can assessee avail benefit of vivad se vishwas scheme in respect of order passed u/s 143(3) r.w.s 147 of the I.T. Act, against which appeal is pending before CIT(A) & if yes, what would be the fate of proceedings u/s 263 of the I.T. Act, initiated by Hon’ble CIT by issuance of show cause notice?
The assessee can avail the benefit of the Vsv in respect of additions contested in appeal before the CIT (A). After receipt of the certificate under Vsv , the Commissioner cannot revise the issues which are subject matter of appeal before the CIT (A) . The asseessee may refer section 263 (1), Explanation 1 (c) of the Act. At the time of the reply to show cause notice and in the course of hearing the assessee may have to bring to the Commissioner . In case the Commissioner does not agree with the contention of the assessee, the assessee may have to file an appeal before the Appellate Tribunal , after receipt of the order from the Commissioner .
Dear Sir,
Honorable ITAT has disposed Appeals for AYs 2008-09 and 2012-13 filed by the Department (revenue) by a Common order dated 04.10.2019 partly allowing the appeal of the Department by disallowing the relief given by CIT(A).
The Appellant has received the consequential order of CIT(A) dated 11-02-2020 pertaining to the order of the ITAT dated 04-10-2019 on 17-02-2020.The Appellant has filed Miscellaneous Application before the ITAT aggrieved by the ITAT order within the time limit allowed under Rule 27 of ITAT rules after receiving the consequential order.
Also petition under Vivaad se vishwas scheme is filed only after the consequential order is received from CIT Appeals ie) after 17.02.2020 . Had the CIT has released the consequential order of the ITAT before 31.01.2020 the Appellant could have filed the Miscellaneous application before the ITAT and Petition under DTVSV before 31.01.2020
Vivaad se vishwas petition was rejected on the grounds that Miscellaneous Application is not an Appeal and no appeal is pending as on 31.01.2020 the Cut-off date.
Please let us know whether Miscellaneous application can be treated as Appeal pending and how to proceed here as the hearing is still pending before the ITAT on 12th February 2021.
Regards
P.V.Subba Rao