The government has garnered Rs 72,480 crore so far through the direct tax dispute resolution scheme Vivad Se Vishwas. A total of 45,855 declarations have been filed under the scheme, involving disputed tax demand of Rs 31,734 crore till November 17, 2020. Central public sector companies are also settling their disputes totalling Rs 1 lakh crore under the scheme.
In October, the government had extended for the third time the deadline for making payment under the Vivad Se Vishwas scheme by three months to March 31, 2021 in view of the ongoing pandemic. However, declarations have to be filed by December 31, 2020. During a high-level review meeting by the I-T department, it was decided to launch an e-campaign to inform taxpayers about the scheme, guiding and facilitating them in filing of declarations and removing any difficulties faced by them in availing the scheme.
The scheme provides for settlement of disputed tax, disputed interest, disputed penalty or disputed fees in relation to an assessment or reassessment order on payment of 100 percent of the disputed tax and 25 per cent of the disputed penalty or interest or fee. The taxpayer is granted immunity from levy of interest, penalty and institution of any proceeding for prosecution for any offence under the Income Tax Act in respect of matters covered in the declaration.
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