Tax arrears settlement appeals dismissed, assessee can seek reinstatement if dispute unresolved

The appeals regarding settlement of tax arrears under The Direct Tax Vivad se Vishwas Act, 2020 for assessment years 2008-09 & 2007-08 were consigned to records and treated as dismissed by the tribunal. However, the assessee was granted the liberty to approach the tribunal for reinstatement of the appeals if the dispute is not resolved under the Act. The revenue did not object to this caveat. The decision was made following a virtual hearing on 11th January 2021.

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Issues:
Settlement of tax arrears under The Direct Tax Vivad se Vishwas Act, 2020 for assessment years 2008-09 & 2007-08.

Analysis:
The appeals were filed by the assessee against separate orders passed by the Commissioner of Income Tax (Appeals) for the assessment years 2008-09 & 2007-08. The authorized representative of the assessee informed the tribunal that the assessee had chosen to resolve the dispute regarding tax arrears for the mentioned assessment years under The Direct Tax Vivad se Vishwas Act, 2020. It was confirmed that the necessary declaration as per Section 4 of the Act had been submitted by the assessee.

The tribunal, in light of the above situation, decided to consign the appeals to records and treat them as dismissed. However, a caveat was added stating that if the dispute concerning tax arrears for the mentioned assessment years is not ultimately resolved under the Act, the assessee would have the liberty to approach the tribunal for reinstatement of the appeals. The tribunal would then consider such applications in accordance with the law. The revenue, representing the respondent, did not object to this caveat.

Therefore, the appeals were officially consigned to records and were considered dismissed for statistical purposes. The decision was made on the conclusion of a virtual hearing held on 11th January 2021.

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