New Delhi: In pursuance of the announcement in Union Budget 2024-25 by Union Minister for Finance and Corporate Affairs Nirmala Sitharaman, the Central Board of Direct Taxes (CBDT) has notified the Direct Tax Vivad Se Vishwas Scheme-2024 to resolve pending appeals in the case of income tax disputes.
According to a statement of Ministry of Finance, the scheme shall come into force with effect from Oct 1. The scheme provides for lesser settlement amounts for a new appellant in comparison to an old appellant and also provides for lesser settlement amounts for taxpayers who file declaration on or before December 31, 2024 in comparison to those who file thereafter.
Four separate Forms have been notified for the purposes of the DTVSV Scheme. These are as under: Form-1: Form for filing declaration and Undertaking by the declarant, Form-2: Form for Certificate to be issued by Designated Authority, Form-3: Form for Intimation of payment by the declarant and Form-4: Order for Full and Final Settlement of tax arrears by Designated Authority
The scheme also provides that Form-1 shall be filed separately for each dispute provided that where appellant and the income-tax authority, both have filed an appeal in respect of the same order, single Form-1 shall be filed in such a case.
The intimation of payment is to be made in Form-3 and is to be furnished to the designated authority along with proof of withdrawal of appeal, objection, application, writ petition, special leave petition, or claim.
Forms 1 and 3 shall be furnished electronically by the declarant. These Forms will be made available on the e-filing portal of Income Tax Department i.e. www.incometax.gov.in.
For detailed provisions of the scheme, Sections 88 to 99 of the Finance Act-2024 may be referred to along with Direct Tax Vivad Se Vishwas Rules, 2024. This is another initiative by the government towards litigation management.
