Settlement Under Vivad Se Vishwas: Rajen Manchanda vs. Pr. CIT Delhi-10 (ITA 6148/DEL/2019)

Introduction

This tribunal decision, recorded under ITA No. 6148/DEL/2019, marks a significant resolution through the Vivad Se Vishwas Scheme, aimed at mitigating long-standing tax disputes. Rajen Manchanda of New Delhi contested the assessment order by Pr. CIT Delhi-10 for the assessment year 2013-14, culminating in a decision that pivots on strategic legal withdrawal.

Background of the Case

Rajen Manchanda, the appellant, faced a tax dispute for the AY 2013-14. Initially determined by the CIT(A)-10 on 19 July 2017, the case evolved over the years, reflecting the complex nature of tax litigations in India. By opting for the Vivad Se Vishwas Scheme, Manchanda sought to resolve the dispute amicably.

The Tribunal’s Proceedings

The tribunal hearing, held via video conferencing led by Shri G.S. Pannu, Vice President, and Shri Kul Bharat, Judicial Member, was pivotal. On the day of the hearing, no representative appeared on behalf of Manchanda. However, documentation submitted prior indicated his intention to withdraw the appeal in favor of a settlement under the Vivad Se Vishwas Act, 2020.

Decision and Implications

The decision to accept the withdrawal request reflects a broader trend towards reducing litigation in tax matters. This case illustrates the effectiveness of the Vivad Se Vishwas scheme as a means to bring closure to tax disputes. The resolution underscores the importance of strategic legal choices in the face of evolving tax legislation.

Conclusion

The closure of ITA No. 6148/DEL/2019 under such amicable terms marks a key moment in the use of alternative dispute resolution mechanisms in tax cases. It provides a blueprint for others in similar disputes, highlighting the benefits of schemes like Vivad Se Vishwas for streamlined, equitable tax dispute resolution.

Settlement Under Vivad Se Vishwas: Rajen Manchanda vs. Pr. CIT Delhi-10 (ITA 6148/DEL/2019)