Taxes paid under following Acts are covered by Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019

  • Central Excise, Service Tax
  • Other Indirect tax enactments namely
  • The Agricultural Produce Cess Act,1940
  • The Coffee Act, 1942
  • The Mica Mines Labour Welfare Fund Act, 1946
  • The Rubber Act, 1947
  • The Salt Cess Act, 1953
  • The Medicinal and Toilet Preparations (Excise Duties) Act, 1955
  • The Additional Duties of Excise (Goods of Special Importance) Act, 1957
  • The Mineral Products (Additional Duties of Excise and Customs) Act, 1958
  • The Sugar (Special Excise Duty) Act, 1959
  • The Textiles Committee Act, 1963
  • The Produce Cess Act, 1966
  • The Limestone and Dolomite Mines Labour Welfare Fund Act, 1972
  • The Coal Mines (Conservation and Development) Act, 1974
  •  The Oil Industry (Development) Act, 1974
  •  The Tobacco Cess Act, 1975
  •  The Iron Ore Mines, Manganese Ore Mines and Chrome Ore Mines Labour Welfare Cess Act, 1976
  •  The Bidi Workers Welfare Cess Act, 1976
  • The Additional Duties of Excise (Textiles and Textile Articles) Act, 1997
  • The Sugar Cess Act, 1982
  • The Jute Manufacturers Cess Act, 1983
  • The Agricultural and Processed Food Products Export Cess Act, 1985
  • The Spices Cess Act, 1986
  • The Finance Act, 2004,
  • The Finance Act, 2007
  • The Finance Act, 2015
  • The Finance Act, 2016

Issue:

M/S Disputes Unlimited received a show cause notice (SCN) covering tax dues related to short payment of Customs amounting to Rs. 15 lacs for the FY 2015-16.

Can they apply for SVLDRS?

Answer:

No, M/S Disputes Unlimited cannot apply for SVLDRS, as Customs Act is not covered under the Sabka Vishwas Legacy Dispute Resolution Scheme 2019.

Relief under the Scheme

Sr No Particulars Amount of the duty < 50 lacs Amount of the duty > 50 lacs
1. Tax dues relatable to SCN or appeal arising out of such SCN which is Pending as on 30.06.2019 70% relief 50% relief
2. Tax dues relatable to SCN for late fee or penalty only and the amount of duty has been paid or is nil 100% relief 100% relief
3. Tax Dues are relatable to amount in arrears or

Tax Dues are relatable to amount in arrear and the declarant has indicated an amount of duty as payable but not paid it

60% relief 40% relief
4. Tax dues are linked to an enquiry, investigation or audit against the declarant and the amount quantified on or before 30th June 70% relief 50% relief
5. Tax dues are on account of voluntary disclosure by the declarant 0% relief 0% relief

*Complete waiver of interest, penalty and late fees

Issue:

M/s. Small Ltd. have served with the consolidated SCN of Rs.60 lacs for the period 2015-17 and to M/s. Big Ltd. have received 3 SCNs of Rs.20 lacs each for the year 2015-16. How much relief will each company get?

Answer:

Even after having the same issue and same amount M/s Small Ltd will get only 50% relief and M/s Big Ltd will get 70% relief.

Compliances

Procedure to opt for SVLDRS

1. Separate Declaration under each case shall be made Electronically at https://cbic-gst.gov.in in form SVLDRS-1 on or before 31st December 2019

2. An auto-acknowledgement bearing a unique reference number will be generated by the system

3. Statement will be issued by designated committee electronically within a period of 60 days from the date of receipt of Declaration in Form SVLDRS-3 stating particulars of  amount payable

4. Where the amount estimated to be payable by the declarant exceeds the amount declared by the declarant, then, the designated committee shall issue electronically, within 30 days of the date of receipt in Form SVLDRS-2, an estimate of the amount payable by the declarant along with a notice of opportunity for personal hearing.

5. If the declarant wants to indicate agreement or disagreement with the estimate or wants to make written submissions or waive personal hearing or seek an adjournment, he shall file electronically Form SVLDRS-2A

6. The designated committee may grant an adjournment electronically in Form SVLDRS-2B

7. Within 30 days of the date of issue of Form SVLDRS-3, the designated committee may modify its order if required.

8. The designated committee on being satisfied that the declarant had paid in full the amount as determined and on submission of proof of withdrawal of appeal/writ petition shall issue discharge certificate electronically in Form SVLDRS-4 within 30 days of said payment and submission of the said proof whichever is later.

Author Bio

Qualification: CA in Job / Business
Company: Shah Khandelwal Jain and Associates
Location: Pune, Maharashtra, IN
Member Since: 18 Jun 2019 | Total Posts: 1

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