2021 (3) TMI 1300 - AT - Income Tax

Vivad Se Vishwas Scheme - HELD THAT - As assessee has filed a letter dated 25.02.2021 withdrawing the appeal as the assessee has opted for solution of dispute under the Vivad Se Vishwas Scheme. The learned Departmental Representative did not object to the same. As relying on M/S. NANNUSAMY MOHAN (HUF) 2020 (11) TMI 484 - MADRAS HIGH COURT as the assessee is opting for resolution of dispute under Vivad Se Vishwas Scheme in the present appeal, we treat the appeal as disposed off as withdrawn.

Summary

Issues:
Appeal against CIT(A) order for Assessment Year 2015-16; Withdrawal of appeal by assessee opting for Vivad Se Vishwas Scheme; Interpretation of Vivad Se Vishwas Act, 2020 provisions; Liberty for restoration of appeal; Disposal of appeal as withdrawn.

Analysis:
The judgment involves an appeal by the assessee against the order of the Commissioner of Income Tax (Appeals) for the Assessment Year 2015-16. The assessee, though absent, filed a letter withdrawing the appeal as they opted for the resolution of the dispute under the Vivad Se Vishwas Scheme. The Departmental Representative did not object to this withdrawal. The judgment refers to a similar situation where the Hon'ble Madras High Court dealt with the Vivad Se Vishwas Scheme and the subsequent developments related to the Direct Tax Vivad Se Vishwas Act, 2020. The Act provides for the resolution of disputed tax matters at various levels, including before the Appellate Forum, Tribunal, High Court, or the Supreme Court. It outlines the process for filing a declaration, determining the amount payable by the declarant, and the immunity from certain proceedings and penalties under the Act.

The judgment highlights the provisions of the Vivad Se Vishwas Act, 2020, including the definition of "disputed tax," the process for filing a declaration, the calculation of the amount payable, and the immunity provided to declarants. It also mentions the different scenarios covered by the Act, such as cases pending before the Appellate Forum, Commissioner (Appeals), Dispute Resolution Panel, or the Income Tax Appellate Tribunal. The judgment emphasizes the importance of filing the declaration in the prescribed form within the specified timeline and the authority's obligation to process the application promptly.

Furthermore, the judgment grants the assessee the liberty to restore the appeal if the decision on the filed declaration is not favorable. The Registry is directed to entertain such requests without requiring a separate application for condonation of delay. The judgment concludes by treating the appeal as withdrawn in light of the assessee's decision to opt for the Vivad Se Vishwas Scheme. The assessee is provided with the liberty for restoration of the appeal in accordance with the High Court order. Ultimately, the appeal is disposed of as withdrawn, with the order pronounced in open court on a specified date.