2008 (12) TMI 85 - HC - Income Tax

Eligibility of petitioner for benefits of Kar Vivad Samadhan Scheme - for becoming eligible for applying under the Scheme the issue in respect of which the benefit is claimed should be one pending in appeal revision reference etc. before any authority or court on the date of application - admittedly the draft statement did not contain the question of law in respect of the issue for which the petitioner sought the benefit of the Scheme assessee not eligible for benefit of Scheme

Summary

Issues:
Eligibility for benefits under the Kar Vivad Samadhan Scheme, 1998.

Analysis:
The petitioner filed an original petition challenging the rejection of their claim under the Kar Vivad Samadhan Scheme, 1998, for the assessment years 1992-93 to 1994-95. The issue revolved around the eligibility criteria of the scheme, which required the pending consideration of the claimed issue by any forum on the date of application. The petitioner contended that the issue was still pending as the Tribunal's decision to not refer the question of law was communicated after the application date. The Revenue opposed, stating that the Tribunal's decision was known before the application and no issue was pending consideration. The Court analyzed the contentions to determine the issue's status on the application date.

The Court considered whether the issue in question was genuinely pending consideration by any forum on the application date. The petitioner argued that since they were informed of the Tribunal's decision post-application, the issue was still pending. However, the Court noted the petitioner's own admission in the original petition that the draft statement, which did not include the issue in question, was received earlier. The draft statement was served on specific dates in 1998 for the relevant assessment years. As the draft statement did not contain the issue for which the petitioner sought benefits under the scheme, the Court concluded that no issue was pending consideration on the application date of 29.1.1999. Consequently, the Court dismissed the original petition, finding no merit in the petitioner's claim for benefits under the scheme.

In conclusion, the Court's judgment centered on the crucial aspect of whether the issue claimed by the petitioner was genuinely pending consideration on the application date for benefits under the Kar Vivad Samadhan Scheme, 1998. The Court meticulously analyzed the timeline of events, including the communication of the Tribunal's decision and the receipt of the draft statement, to determine the issue's status. Based on the petitioner's own admissions and the absence of the claimed issue in the draft statement, the Court ruled that no issue was pending consideration on the application date, thereby rejecting the petitioner's claim for benefits under the scheme.