2019 – Posted in: Press Information Bureau – Tags: dispute settlement

Sabka Vishwas – Legacy Dispute Resolution Scheme

(Ministry of Finance)

WHAT

In the Union Budget 2019-20, the FinMin announced the Sabka Vishwas-Legacy Dispute Resolution Scheme, 2019. The Scheme has now been notified and will be operationalized from 1st September 2019. The Scheme would continue till 31st December 2019.

OBJECTIVE

The objective of the Sabka Vishwas Scheme is to free as large a segment of the taxpayers from the legacy taxes as possible, the relief given there under is substantial.
The Scheme is especially tailored to free the large number of small taxpayers of their pending disputes with the tax administration.
The government urges the taxpayers and all concerned to avail the SabkaVishwas – Legacy Dispute Resolution Scheme, 2019 and make a new beginning.

SIGNIFICANCE

The Scheme is to be availed by 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.

The scheme 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.

COMPONENTS OF SCHEMES

Two main components of the Sabka Vishwas Scheme are dispute resolution and amnesty.

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.
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.

Source: PIB

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