Withdrawal of Tax Appeal Under Vivad Se Vishwas Scheme: A Detailed Analysis

Introduction

This document provides a comprehensive analysis of the withdrawal of a tax appeal by Kulvinder Pal Singh under the Vivad Se Vishwas Scheme, as accepted by the ITAT Delhi Bench ‘C’.

Case Background

Kulvinder Pal Singh filed an appeal against the CIT(Appeals)-18, New Delhi’s decision for the assessment year 2015-16. However, in August 2022, the appellant opted to withdraw the appeal, choosing to settle the tax disputes under the Vivad Se Vishwas Scheme introduced by the Indian government.

Details of Withdrawal

The assessee’s decision was influenced by the favorable terms offered under the Vivad Se Vishwas Scheme, which aimed to reduce litigation within the Indian tax framework. The Department issued a full and final settlement of the tax arrears in Form No. 5, which was pivotal in the decision to withdraw the appeal.

Judicial Review

The Tribunal, upon reviewing the request and the documents provided, including the settlement order in Form No. 5, accepted the withdrawal. The bench noted no objections from the Senior Departmental Representative and acknowledged the settlement.

Implications of the Decision

This case highlights the effectiveness of the Vivad Se Vishwas Scheme as a dispute resolution mechanism. It reflects a shift towards more conciliatory fiscal dispute resolutions, aiming to reduce the backlog of cases and provide a streamlined approach to handling tax disputes.

Conclusion

The acceptance of the withdrawal request under the Vivad Se Vishwas Scheme marks a significant moment in tax litigation, promoting a quicker resolution process and reducing the burden on the judicial system. This analysis explores the nuances of the decision and its implications for taxpayers and the legal framework.

Withdrawal of Tax Appeal Under Vivad Se Vishwas Scheme: A Detailed Analysis