{"id":218584,"date":"2019-08-23T17:30:31","date_gmt":"2019-08-23T12:00:31","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=218584"},"modified":"2019-08-23T17:31:22","modified_gmt":"2019-08-23T12:01:22","slug":"sabka-vishwas-legacy-dispute-resolution-scheme-2019-to-be-availed-by-large-number-of-taxpayers-for-closing-their-pending-disputes-relating-to-legacy-service-tax-and-central-excise-cases","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2019\/08\/23\/sabka-vishwas-legacy-dispute-resolution-scheme-2019-to-be-availed-by-large-number-of-taxpayers-for-closing-their-pending-disputes-relating-to-legacy-service-tax-and-central-excise-cases\/","title":{"rendered":"Sabka Vishwas &#8211; Legacy Dispute Resolution Scheme, 2019 ; to be availed by large number of taxpayers for closing their pending disputes"},"content":{"rendered":"<p style=\"text-align: justify;\"><strong>In the Union Budget 2019-20<\/strong>, the Hon\u2019ble <strong><span style=\"color: #0000ff;\">Finance Minister announced the &#8220;Sabka Vishwas &#8211; Legacy Dispute Resolution Scheme, 2019&#8221;<\/span><\/strong>.<\/p>\n<p style=\"text-align: justify;\">The <span style=\"color: #800080;\">Scheme has now been notified and will be operationalized from 1st September 2019<\/span>. The <span style=\"color: #800080;\">Scheme would continue till 31st December 2019<\/span>. The government expects the Scheme to be availed by a large number of taxpayers for closing their pending disputes relating to legacy Service Tax and Central Excise cases that are now subsumed under GST so they can focus on GST.<\/p>\n<p style=\"text-align: justify;\">The <strong>two main components of the Scheme are<\/strong> &#8212;<strong><span style=\"color: #ff0000;\">dispute resolution<\/span><\/strong> and <strong><span style=\"color: #ff0000;\">amnesty<\/span><\/strong>.<\/p>\n<p style=\"text-align: justify;\">The dispute resolution component is aimed at liquidating the legacy cases of Central Excise and Service Tax that are subsumed in GST and are pending in litigation at various forums.<\/p>\n<p style=\"text-align: justify;\">The amnesty component of the Scheme offers an opportunity to the taxpayers to pay the outstanding tax and be free of any other consequence under the law. The most attractive aspect of the Scheme is that it provides substantial relief in the tax dues for all categories of cases as well as full waiver of interest, fine, penalty, In all these cases, there would be no other liability of interest, fine or penalty. There is also a complete amnesty from prosecution.<\/p>\n<p style=\"text-align: justify;\">For <strong>all the cases pending in adjudication or appeal \u2013 in any forum &#8211; this Scheme offers relief of 70% from the duty demand if it is Rs. 50 lakhs or less and 50% if it is more than Rs. 50 lakhs.<\/strong> The same relief is available for cases under investigation and audit where the duty involved is quantified and communicated to the party or admitted by him in a statement on or before 30th June, 2019.<\/p>\n<p style=\"text-align: justify;\">Further, in cases of confirmed duty demand, where there is no appeal pending, the relief offered is 60% of the confirmed duty amount if the same is Rs. 50 lakhs or less and it is 40% if the confirmed duty amount is more than Rs. 50 lakhs. Finally, in cases of voluntary disclosure, the person availing the Scheme will have to pay only the full amount of disclosed duty.<\/p>\n<p style=\"text-align: justify;\">As the objective of the Scheme is to free as large a segment of the taxpayers from the legacy taxes as possible, the relief given thereunder is substantial. <span style=\"color: #0000ff;\"><strong>The Scheme is specially tailored to free a large number of small taxpayers of their pending disputes with the tax administration. Government urges the taxpayers and all concerned to avail the Sabka Vishwas &#8211; Legacy Dispute Resolution Scheme, 2019 and make a new beginning.<\/strong><\/span><\/p>\n<hr \/>\n<p style=\"text-align: justify;\"><strong>[Source: PIB]<\/strong><\/p>\n<p style=\"text-align: right;\"><strong>Press Release dt. 22-08-2019<\/strong><\/p>\n<p><strong>Ministry of Finance<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In the Union Budget 2019-20, the Hon\u2019ble Finance Minister announced the &#8220;Sabka Vishwas &#8211; Legacy Dispute Resolution Scheme, 2019&#8221;. 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