Withdrawal of Appeal in the Case of Manish Goel vs ITO for AY 2011-12

Withdrawal of Appeal in the Case of Manish Goel vs ITO for AY 2011-12

The Income Tax Appellate Tribunal (ITAT) Delhi Bench ‘SMC-1’ presided over the case of Manish Goel, residing at AG-119, Shalimar Bagh, New Delhi, against the Income Tax Officer, Ward-34(2), New Delhi, concerning the assessment year 2011-12. The hearing was conducted through video conferencing, and the order was pronounced on 16th February 2021 by Shri Bhavnesh Saini, Judicial Member, and Shri O.P. Kant, Accountant Member.

Background of the Case

The appeal was filed by Manish Goel challenging the order passed by the Commissioner of Income Tax (Appeals)-12, New Delhi, dated 20th June 2019. The appellant sought relief from the assessment order passed by the Income Tax Officer, Ward-34(2), New Delhi, for the assessment year 2011-12. However, during the proceedings, the learned counsel for the appellant, Shri Lalit Mohan, requested the withdrawal of the appeal, indicating that the appellant had opted to settle the tax dispute under the ‘Vivad Se Vishwas Scheme, 2020’. The appellant submitted a letter dated 15th February 2021, along with a copy of Form No. 3 issued by the respective Principal Commissioner of Income Tax, which confirmed the settlement under the scheme.

Proceedings and Decision

During the hearing, both parties were represented through video conferencing. The learned counsel for the appellant reiterated the request to withdraw the appeal, as the dispute had been settled under the ‘Vivad Se Vishwas Scheme, 2020’. The respondent, represented by Senior Departmental Representative (DR) Shri Ved Prakash Mishra, did not object to the withdrawal of the appeal.

Considering the appellant’s request and the lack of objection from the respondent, the Tribunal accepted the withdrawal of the appeal. The Tribunal noted that the appeal was being dismissed as withdrawn based on the settlement under the ‘Vivad Se Vishwas Scheme, 2020’. However, the Tribunal also provided the appellant with the liberty to re-institute the appeal if the settlement did not materialize as expected. In such a case, the Tribunal assured that any application for recalling the order would be considered and decided according to the law.

Significance of the ‘Vivad Se Vishwas Scheme, 2020’

The ‘Vivad Se Vishwas Scheme, 2020’ was introduced by the Government of India as a mechanism to reduce litigation and provide taxpayers with an opportunity to resolve their tax disputes amicably. The scheme allows taxpayers to pay the disputed tax amount without any additional interest or penalties, thereby facilitating the resolution of pending cases and reducing the burden on the judicial system.

In this case, Manish Goel’s decision to withdraw the appeal and opt for the ‘Vivad Se Vishwas Scheme, 2020′ reflects a strategic choice to resolve the tax dispute efficiently. The Tribunal’s acceptance of the withdrawal, along with the provision for re-institution if necessary, highlights the flexibility and responsiveness of the legal system in accommodating taxpayers’ choices within the framework of available schemes.

Conclusion

The ITAT’s order on 16th February 2021 concluded with the dismissal of the appeal filed by Manish Goel as requested by the appellant. The dismissal was in light of the appellant’s decision to participate in the ‘Vivad Se Vishwas Scheme, 2020’. The order emphasizes the importance of such schemes in offering taxpayers alternative avenues to settle disputes while preserving their right to appeal if the settlement does not materialize as expected.

This case serves as an example of the effectiveness of the ‘Vivad Se Vishwas Scheme, 2020’ as a tool for dispute resolution, enabling taxpayers to avoid prolonged litigation and settle their tax liabilities in an amicable manner.

The order was pronounced in the open court, marking the formal conclusion of the appeal in favor of withdrawal.

Withdrawal of Appeal in the Case of Manish Goel vs ITO for AY 2011-12