Naresh Kumar Jain vs. ITO Ward-47(4), New Delhi: Case Filed for 2011-12 Assessment Year – Appeal Withdrawn Under Vivad Se Vishwas Scheme

Naresh Kumar Jain vs. ITO Ward-47(4), New Delhi: Case Filed for 2011-12 Assessment Year – Appeal Withdrawn Under Vivad Se Vishwas Scheme

Case Number: ITA 6000/DEL/2019

Appellant: Naresh Kumar Jain, Delhi

Respondent: Income Tax Officer, Ward-47(4), New Delhi

Assessment Year: 2011-12

Case Filed On: 12th July 2019

Order Type: Final Tribunal Order

Date of Order: 28th January 2021

Pronounced On: 28th January 2021

Background of the Case

The appellant, Naresh Kumar Jain, a resident of Delhi, filed an appeal against the order passed by the Commissioner of Income Tax (Appeals)-16, New Delhi, on 26th March 2019. The case pertains to the assessment year 2011-12. The appeal was brought before the Income Tax Appellate Tribunal (ITAT) challenging the assessment made by the Income Tax Officer (ITO), Ward-47(4), New Delhi.

The core issue in this case arose from the assessment of Naresh Kumar Jain’s income for the financial year 2011-12. The appellant had filed an appeal against the assessment order, seeking relief from the tax liabilities imposed by the ITO. The details of the dispute are not elaborately discussed in the Tribunal’s order, but it is implied that the appellant was aggrieved by the tax assessment for that year.

Proceedings in the Tribunal

The appeal was heard by the Delhi Bench ‘SMC-2’ of the Income Tax Appellate Tribunal through video conferencing, a practice that became common during the pandemic to ensure the continuity of judicial proceedings. The bench was presided over by Shri N. K. Billaiya, Accountant Member. The hearing took place on 28th January 2021.

During the hearing, the appellant was represented by Advocate Sumangla Saxena, while the Revenue was represented by Shri Mahesh Kumar, Senior Departmental Representative (DR). At the very outset of the hearing, the counsel for the appellant informed the Tribunal that Naresh Kumar Jain had decided to withdraw the appeal. The reason provided for the withdrawal was that the appellant had opted to settle the dispute under the Vivad Se Vishwas Scheme, 2020.

Vivad Se Vishwas Scheme and Its Implications

The Vivad Se Vishwas Scheme, 2020, was introduced by the Government of India to resolve pending tax disputes by offering taxpayers the opportunity to pay their disputed tax amounts and, in return, receive a waiver on interest and penalties. The scheme was designed to reduce the burden of litigation on both the taxpayer and the Income Tax Department, thereby enabling faster resolution of tax disputes.

In this case, Naresh Kumar Jain chose to avail the benefits of the Vivad Se Vishwas Scheme, which led to the withdrawal of his appeal before the Tribunal. The appellant’s decision to opt for the scheme indicated his willingness to settle the tax dispute without further litigation, thereby taking advantage of the relief provided under the scheme.

Tribunal’s Decision

After considering the request for withdrawal, the Tribunal accepted the appellant’s request and dismissed the appeal as withdrawn. However, the Tribunal also granted liberty to the appellant to approach the Tribunal for revival of the appeal if, for some technical reason, the dispute could not be settled under the Vivad Se Vishwas Scheme. This provision ensured that the appellant had a recourse in case the settlement process under the scheme did not go through as expected.

The Tribunal’s decision was pronounced in the open court on 28th January 2021, in the presence of both representatives. This swift resolution of the appeal underlines the efficiency of the Vivad Se Vishwas Scheme in resolving tax disputes without prolonged litigation.

Conclusion

The case of Naresh Kumar Jain vs. ITO Ward-47(4), New Delhi, is a prime example of how the Vivad Se Vishwas Scheme provided a viable alternative to prolonged litigation for taxpayers facing tax disputes. By opting for the scheme, Naresh Kumar Jain was able to settle his tax liabilities for the assessment year 2011-12 without further contesting the matter in court.

This case also highlights the Tribunal’s role in facilitating such settlements, allowing taxpayers to withdraw their appeals and settle disputes under government schemes. The Tribunal’s provision for the revival of the appeal, if necessary, demonstrates a balanced approach, ensuring that taxpayers are not left without recourse in case the settlement process faces any hurdles.

For other taxpayers and legal professionals, this case serves as a reminder of the benefits of government schemes like Vivad Se Vishwas, which can provide quicker resolutions and reduce the burden of litigation. The decision pronounced on 28th January 2021 marks the closure of the dispute for Naresh Kumar Jain, providing a clear example of how such schemes can be effectively utilized to resolve tax disputes.

The final order, as pronounced by Shri N. K. Billaiya, Accountant Member, reflects the Tribunal’s commitment to upholding the principles of justice while encouraging the use of alternative dispute resolution mechanisms like the Vivad Se Vishwas Scheme.

Order Pronounced By: Shri N. K. Billaiya, Accountant Member

Final Order: Appeal Dismissed as Withdrawn

Naresh Kumar Jain vs. ITO Ward-47(4), New Delhi: Case Filed for 2011-12 Assessment Year – Appeal Withdrawn Under Vivad Se Vishwas Scheme