The Finance Bill 2020, presented the Vivaad se Vishwas scheme [VVS]. The government introduced this scheme because they are positive to receive Rs. 9 lacs crore’s sum, which is stuck into tax litigations.
As per a recent conference of date, 6th March on ” VVS” between “The CBDT” officials and the multiple industries spoke persons and other institutions representatives. The officials of CBDT has conveyed that the sums which are stuck in tax litigation are Rs. 14 lacs crore but the expected which can be realised are valued Rs. 9 lacs crore however they are expecting to cover Rs. 50,000 crores by the end of 31st of March, 2020.
The officials further commented that this scheme is not a scheme that promotes more litigation but a mechanism through which the tax cases pending at different legal institutions get reduced or minimized so that the time of different courts and public authorities can be saved and diverted.
In addition, the CBDT has issued their clarification on no. doubts which were brought into consideration through public comments. The no. of questions that are clarified by CBDT are 55 where each ques. is answering a different doubt. however, this list is not exhaustive because as per he conference once the bill if passed in #Rajaysabha then another #FAQ will be issued covering more doubts.
It was discussed that process of the scheme will be completely online and those who make the payment of disputed tax can only benefit through the scheme.
This scheme is good for those entities which want to settle tax cases by saving cost and time on litigations, also where the probability of losing is >50%, as his scheme offers the assessee to pay just taxes and no penalty and interest charges.
The concluding point is this that the CBDT officials stated that the conference held by them with #US to convey that there is no pressure to #settle the #tax cases in case if one wishes to continue then they may continue. Also, It was an effort to outreach but not to overreach.
If anyone has any interest to process their pending tax cases through VVS scheme and have any doubt, kindly feel free to reach and discuss their queries/issues.