The Income Tax Appellate Tribunal’s decision in ITA No. 3748/DEL/2019 represents a case where the appellant, Raj Kumar Jain from Delhi, opted to resolve the tax dispute under the Vivad Se Vishwas Scheme, 2020. This case highlights the practical application of the scheme aimed at reducing pending litigation related to tax disputes.
Raj Kumar Jain was assessed by the ACIT, Circle-27(2), New Delhi, for the assessment year 2015-16. The dispute initially escalated to the CIT(Appeals)-27, where a decision was rendered on February 28, 2019. Subsequently, the assessee decided to take the matter to the Income Tax Appellate Tribunal, filing the case on April 29, 2019.
The hearing took place on January 18, 2023, presided over by Judicial Member Shri Narender Kumar Choudhry and Accountant Member Dr. B.R.R. Kumar. During the proceedings, the counsel for the assessee, Sh. Sahil Yadav, submitted an application dated January 18, 2023, requesting permission to withdraw the appeal. The reason for withdrawal was due to the settlement of the matter under the Vivad Se Vishwas Scheme, with Form No. 3 already submitted by the assessee.
The tribunal accepted the withdrawal of the appeal, officially dismissing it as withdrawn. The order was pronounced in the open court on the same day, providing a swift conclusion to what could have been a protracted legal battle. This decision underscores the effectiveness of the Vivad Se Vishwas Scheme as a viable alternative to conventional litigation, allowing taxpayers a means to resolve disputes amicably and expediently.
The case of ITA 3748/DEL/2019 serves as an exemplar of the positive outcomes possible when parties opt for government-sponsored schemes to settle disputes. It not only alleviates the burden on judicial resources but also provides a faster resolution for the taxpayer, demonstrating the mutual benefits of such initiatives.
The appellant, Raj Kumar Jain, initially challenged the assessment made by ACIT, Circle-27(2), New Delhi, which led to the involvement of CIT(Appeals)-27. The specifics of the dispute revolved around the assessment year 2015-16, and the proceedings at the CIT(Appeals) level resulted in an order dated February 28, 2019. Dissatisfied with the outcome, Raj Kumar Jain filed an appeal to the Income Tax Appellate Tribunal on April 29, 2019.
During the tribunal hearing on January 18, 2023, the appellant’s counsel presented a withdrawal application, indicating the appellant’s decision to settle the dispute under the Vivad Se Vishwas Scheme, 2020. The submission of Form No. 3 under the scheme signaled the completion of necessary formalities for the settlement.
The tribunal, comprising Judicial Member Shri Narender Kumar Choudhry and Accountant Member Dr. B.R.R. Kumar, acknowledged the withdrawal request. In the absence of any objection from the department’s representative, Sh. S.L. Verma, Sr. DR, the tribunal allowed the appeal to be withdrawn, thus dismissing it.
This case highlights the strategic use of the Vivad Se Vishwas Scheme by taxpayers to avoid prolonged litigation. The scheme, introduced by the government, aims to resolve tax disputes by providing taxpayers with an opportunity to settle their cases by paying a defined amount of disputed tax. The benefits include immunity from interest and penalties, making it an attractive option for many taxpayers.
In conclusion, the decision in ITA 3748/DEL/2019 underscores the effectiveness of the Vivad Se Vishwas Scheme in reducing litigation and providing a streamlined resolution process for tax disputes. The tribunal’s acceptance of the withdrawal application and the subsequent dismissal of the appeal illustrate the scheme’s practical utility in achieving timely and amicable settlements.
The case of ITA 3748/DEL/2019 serves as a testament to the positive impact of the Vivad Se Vishwas Scheme on the Indian tax litigation landscape. By opting for this scheme, Raj Kumar Jain (HUF) efficiently resolved the tax dispute with ACIT, Circle-27(2), New Delhi, for the assessment year 2015-16. This case exemplifies how government initiatives can facilitate dispute resolution, benefiting both the taxpayers and the judicial system.
ITA 3748/DEL/2019: Settlement of Assessment Year 2015-16 Under Vivad Se Vishwas
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