As a move towards expeditious disposal of cases under erstwhile indirect tax laws, a dispute resolution cum amnesty scheme called “Sabka Vishwas Legacy Dispute Resolution Scheme, 2019” has been introduced. The proposed Scheme shall cover past disputes of taxes which have got subsumed in GST namely Central Excise, Service Tax and Cesses etc. It may be noted that Customs law and VAT disputes, being state level statutes are not covered in this Scheme.
The scheme is open to all taxpayers except certain cases to be notified in scheme. The relief under the scheme may vary from 40% to 70% of the tax dues for cases other than voluntary disclosure cases, depending on the quantum of tax dues involved. The scheme shall also provide relief from payment of interest and penalty. In certain cases, the scheme may also give relief from prosecution.
While the scheme is announced, we suggest our viewers to wait for formal rules to be notified. We shall keep you posted on further developments.