Rani Popli vs ITO: Appeal Withdrawal Under Vivad Se Vishwas Scheme for Assessment Year 2011-12

Rani Popli vs ITO: Appeal Withdrawal Under Vivad Se Vishwas Scheme for Assessment Year 2011-12

The case of Rani Popli, New Delhi, versus the Income Tax Officer, Ward-42(5), New Delhi, pertaining to the assessment year 2011-12, was addressed by the Income Tax Appellate Tribunal (ITAT) Delhi Bench ‘SMC-1’ on March 4, 2021. The appeal, numbered ITA 6464/DEL/2019, was initially filed on August 1, 2019, challenging the assessment order under scrutiny.

The appellant, Rani Popli, through her authorized representative, submitted a request for the withdrawal of the appeal, citing her decision to opt for the Vivad Se Vishwas Scheme, 2020. The Vivad Se Vishwas Scheme was introduced by the Government of India as a means to resolve pending tax disputes by allowing taxpayers to settle their disputes by paying the disputed tax amount with a waiver of interest and penalties.

During the virtual hearing, the ITAT noted that the appellant’s representative had filed a certificate under Section 5(1) of The Direct Tax Vivad Se Vishwas Act, 2020, confirming that the appellant had opted to settle the dispute under the scheme. The Senior Departmental Representative (DR), Shri R.K. Gupta, raised no objections to the withdrawal request.

Case Background

The case involved an appeal against the order of the Commissioner of Income Tax (Appeals)-15, New Delhi. While the specific details of the disputed issues were not discussed during the hearing, it is understood that the appellant chose to withdraw the appeal to take advantage of the Vivad Se Vishwas Scheme, which provided an opportunity to resolve the tax dispute in a more straightforward and financially beneficial manner.

The appeal withdrawal under the Vivad Se Vishwas Scheme indicates the taxpayer’s intent to resolve the dispute amicably without further litigation. The ITAT acknowledged this intent and allowed the withdrawal of the appeal.

Key Takeaways from the ITAT Order

• The ITAT accepted the withdrawal of the appeal filed by Rani Popli for the assessment year 2011-12 under the Vivad Se Vishwas Scheme.
• The withdrawal was facilitated by a certificate under Section 5(1) of The Direct Tax Vivad Se Vishwas Act, 2020, confirming the appellant’s decision to settle the dispute under the scheme.
• The appeal was dismissed as withdrawn, effectively closing the case for the appellant without further examination of the merits of the original dispute.

Conclusion

The case of Rani Popli vs ITO serves as an example of how taxpayers can utilize government schemes like Vivad Se Vishwas to resolve ongoing tax disputes efficiently. By opting for the scheme, the appellant was able to conclude the dispute for the assessment year 2011-12 without further legal proceedings, thereby avoiding additional litigation costs and the uncertainty associated with prolonged disputes.

The ITAT’s order to dismiss the appeal as withdrawn reflects the tribunal’s recognition of the taxpayer’s right to choose an alternative dispute resolution mechanism provided by the government. This case highlights the benefits of the Vivad Se Vishwas Scheme in promoting the resolution of tax disputes in a time-bound and amicable manner.

Rani Popli vs ITO: Appeal Withdrawal Under Vivad Se Vishwas Scheme for Assessment Year 2011-12