Vivad Se Vishwas Covers Disputed Tax Interest: Bombay HC

Premlata Mohan Agarwal Vs PCIT (Bombay High Court) In a ruling addressing the scope of the Direct Tax Vivad Se Vishwas Act, 2020 (VSV Act), the Bombay High Court has set aside orders passed by the Principal Commissioner of Income Tax (PCIT) that rejected a taxpayer’s declaration seeking to settle a dispute primarily related to interest levied under the Income Tax Act, 1961. The court clarified that the VSV Act indeed covers disputed interest and that an appeal with a condonation of delay application can be considered ‘pending’ for the scheme’s eligibility criteria. The ...