Re: VSV rejected on the ground of FAQ circular dated 4/12/20
Dear Sir
CIT(A) passed order of penalty in November, 2016 but the order was not received by me as I am NRI staying outside India. I filed appeal in Hon’ble ITAT in Feb 21 with a request for condonation of delay and my appeal was admitted and the delay was condoned by Honble Tribunal in mid march 2021 stating that I can apply under VSV. Application under VSV was submitted by me before 31 March 2021. The application has been rejected by CIT citing the reason that as per FAQ 59 of FAQ circular dated 4/12/20 the application of delay of condonation should have been filed before 4/12/20, the date of issuance of FAQ circular. I have observed on net that Hoble HC in some recent judgement has ruled that FAQ 59 is erroneous and can not be part of VSV. My query is should I appeal to HC against the rejection? Is rejection under FAQ 59 of FAQ circular bad in law? sir,I need your urgent help and will be grateful if I get immediate response.
The assessee has to file writ petition before the High Court . The High Court may direct the Designated Authority to accept the VSv declaration filed by the assessee. We have been informed that Delhi High Court by their order dated 3-3 -2021 , has admitted the writ petition filed by the assesee on similar circumstances. Once the delay is condoned it relates back to the date of filing . Please refer unreported judgement of Bombay High Court Awantika Pratap Singh Morarji v Ashwin Kumar (CIT ) WP No 1691 of 2005 dt 9-07 -2014 dealing with KVSS honourable High Court has directed the designated authority to grant the benefit of the scheme , when the delay was condoned by the Appellate Tribunal .
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