Vivad se vishwas scheme 2024

374 views 3 replies

Krishna

Assistant

702 Points Joined July 2011

sir ,
an assessee s assessment was carried out us 144 for AY 2017 18. Assessee now intends to go in scheme. Now assessee is required to pay only tax amount & no interest us 234A B & C is it correct ? second question is penalty notice us 271AAC is issued for income assessing us 69 i.e. unexplained money, however penalty order is not issued. If now assessee opts for scheme then penalty proceedings initiated us 271AAC will automatically dropped ?
please reply thanks in advance

Replies (3)

Rama chary Rachakonda

Master in Accounts & high court Advocate

9123 Points Joined December 2011

1. Yes, that's correct! If the assessee opts for the scheme, they are required to pay only the tax amount and not the interest under sections 234A, 234B, and 234C.

2. Regarding the penalty notice under section 271AAC, if the assessee opts for the scheme, the penalty proceedings initiated under section 271AAC will be automatically dropped.

However, it's important to note that the assessee will need to pay the tax amount and file the revised return to avail of the benefits under the scheme. Please consult a tax expert or chartered accountant to ensure you follow the correct procedure and meet all the requirements under the scheme. They can guide you through the process and help you avoid any potential issues.

Prajjwal

422 Points Joined December 2017

Yes, its correct under the Vivad se Vishwas Scheme, only the disputed tax is payable. Interest u/s 234A, 234B, and 234C is waived if the scheme is opted for.
If an assessee opts for the DTVSV scheme, penalty proceedings initiated u/s 271AAC for income assessed will result in automatic dropping of penalty proceedings related to the disputed tax.