Resolution Under Vivad Se Vishwas: Subhash Gupta vs. ITO Ward-41(4), New Delhi (ITA 6165/DEL/2019)

Introduction

The case ITA No. 6165/DEL/2019 involves a tax dispute between Subhash Gupta, a resident of New Delhi, and the Income Tax Officer (ITO) Ward-41(4), New Delhi. This dispute pertains to the assessment year 2015-16 and was eventually resolved under the Vivad Se Vishwas Scheme, a government initiative aimed at reducing tax litigation and promoting settlement through a structured resolution process.

Case Background

Subhash Gupta, a taxpayer from New Delhi, faced challenges regarding the assessment of his income for the year 2015-16. The initial assessment, conducted by ITO Ward-41(4), identified discrepancies that led to a contested tax liability. Dissatisfied with the assessment outcome, Gupta appealed to the Commissioner of Income Tax (Appeals) [CIT(A)] in New Delhi. However, the appeal did not yield the desired outcome for Gupta, prompting him to escalate the matter to the Income Tax Appellate Tribunal (ITAT).

Proceedings at the ITAT

The appeal was heard by a bench comprising Shri Bhavnesh Saini, Judicial Member, and Shri O.P. Kant, Accountant Member. The proceedings took place on 11 January 2021, with the appellant not present at the hearing. Instead, a written application was submitted on behalf of Gupta, requesting the withdrawal of the appeal due to the resolution of the dispute under the Vivad Se Vishwas Scheme, 2020. This scheme was specifically designed to allow taxpayers to settle their disputes with the tax authorities by paying a certain amount, thereby avoiding prolonged litigation.

Tribunal’s Decision

The Tribunal accepted the request for withdrawal and dismissed the appeal, marking the successful application of the Vivad Se Vishwas Scheme in resolving this particular tax dispute. The dismissal of the appeal was straightforward, reflecting the effectiveness of the scheme in providing a clear and structured path to dispute resolution.

Conclusion

The resolution of ITA No. 6165/DEL/2019 under the Vivad Se Vishwas Scheme underscores the significance of such government initiatives in promoting the efficient resolution of tax disputes. Subhash Gupta’s case serves as an example of how taxpayers can leverage these schemes to settle their disputes amicably, without engaging in lengthy and costly litigation. This outcome not only provided relief to Gupta but also contributed to the broader objective of reducing the backlog of tax cases in India’s legal system.

Resolution Under Vivad Se Vishwas: Subhash Gupta vs. ITO Ward-41(4), New Delhi (ITA 6165/DEL/2019)