Need Tally
for Clients?

Contact Us! Here

  Tally Auditor

License (Renewal)
  Tally Gold

License Renewal

  Tally Silver

License Renewal
  Tally Silver

New Licence
  Tally Gold

New Licence
 
Open DEMAT Account with in 24 Hrs and start investing now!
« Direct Tax »
Open DEMAT Account in 24 hrs
 CBDT drops small tax demands but not TCS, TDS claims
 ITR Refund: Awaiting money from Income Tax? Here's why you have not yet received your amount
 Income Tax Notice: What to do if you receive a Section 143 (1) notice from taxman?
 Average tax return processing time cut to 10 days: CBDT
 7 types of Income Tax Notice ITR filers may receive for AY 2023-24
 ITR filing: Do these advance preparations before filing your income tax return
 What are the strategies to maximize tax refunds after submitting an income tax return (ITR)?
 ITR filing: Tax rules on income from house property that your should know
 CBDT likely to issue rules on angel tax next week
 Pension Taxation: Everything you need to know for ITR filing
 Income tax guide on pension: How to file pension income in ITR?

Pay tax under dispute resolution scheme on time to get relief: CBDT
September, 13th 2016

CBDT today said assessees taking advantage of the Direct Tax Dispute Resolution Scheme, 2016, will be required to pay the taxes within the stipulated period to avail the relief under the scheme.

"The tax payable under the scheme should be paid to the credit of the government on or before the due date as specified in the scheme. The assessees are advised to pay the tax well on time so as to avail the relief under the scheme," Central Board of Direct Taxes (CBDT) said in an FAQ.

The scheme, announced by Finance Minister Arun Jaitley in his Budget, provides an opportunity to taxpayers who are under litigation to come forward and settle the dispute.

The CBDT clarified that declaration cannot be filed under the scheme, in case where the appeal was pending before CIT (Appeals) as on February 29, 2016 and the CIT (Appeals) has already disposed of the same before making the declaration, the declaration under the Scheme cannot be filed.

It further said "in a case where the declaration has been made under the scheme or an intention to avail the scheme has been made by the appellant, the CIT(Appeals) shall not dispose the pending appeal."

As per the scheme, in a case where disputed tax in quantum appeal is more than Rs 10 lakh, the declarant has to pay the disputed tax, interest and 25 per cent of minimum penalty leviable.

Further, in a case where the disputed tax in quantum appeal does not exceed Rs 10 lakh, the declarant is required to pay only the disputed tax and interest and there is no requirement for payment of any amount in respect of penalty leviable.

According to FAQ, a case where notice of enhancement has been received by the declarant before the date of commencement of the scheme June 1, 2016 shall not be eligible for the scheme.

It further said the assessees are advised to make declarations in cases or for assessment years where the additions are made on substantive basis.

"The protective demand is not subjected to recovery unless it is finally upheld. Once the declaration in a substantive case or year is accepted, the tax arrear in protective case/year would no longer be valid and will be rectified by suitable orders in the normal course," the CBDT said.

Clarifying a query, whether by filing declaration under the scheme for one assessment year, does the taxpayer forgo his right of appeal on the same issue in another assessment year, the CBDT replied in negative.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2024 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting