SVLDRS litigation category applies where duty demand was remanded for re-quantification and pre-deposit must be credited.

A remanded duty demand that had not attained finality by 30 June 2019 fell within the SVLDRS litigation category, because quantification of duty and penalty remained open after the Tribunal's remand. The arrears category was therefore inapplicable, and the declaration had to be processed on the litigation footing. The record also showed that the petitioner's pre-deposit of Rs. 10 lakhs had already been accounted for in the earlier computation, so the authorities were required to give proper credit for that payment while determining the amount payable under the scheme.

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Issues: Whether the petitioner's declaration under the SVLDRS fell under the litigation category or the arrears category, and whether the impugned SVLDRS-3 correctly quantified the tax dues after accounting for the pre-deposit already made.

Analysis: The demand arising from the show cause notice had not attained finality by 30 June 2019 because the Tribunal had remanded the matter for re-quantification and had kept quantification of duty and penalty open. A case where duty has not been finally quantified and remains pending after remand falls within Section 124(1)(a) of the Finance Act, 2019, not Section 124(1)(c). The record also showed that the petitioner's pre-deposit of Rs. 10 lakhs had been adjusted in the committee's earlier computation, and there was no material to disbelieve that payment. The impugned computation under the arrears category therefore overlooked the correct statutory footing and the adjustment already made.

Conclusion: The petitioner's case was held to be covered by the litigation category, and the impugned SVLDRS-3 quantification under the arrears category was not sustainable.

Final Conclusion: The declaration had to be processed on the basis of litigation-category relief with proper adjustment of the pre-deposit, and the committee was directed to determine the correct amount accordingly.

Ratio Decidendi: Where a duty demand has been remanded for re-quantification and has not attained finality as on the relevant cutoff date, it is a litigation-category matter under the SVLDRS scheme, and any admitted pre-deposit must be deducted while computing the amount payable.

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