VCES 2013 Eligibility - Clarification

[CA.Mohammed Lakkadsha]

Sir, If an inquiry is initiated against the assessee for specified services.Whether the assessee can opt for VCES for other services wherein no inquiry is initiated.. Example : An equiry initiated for GTA , which is under process and no show has been issued yet . Whether assessee is entitle to declare tax dues under Industrial Construction services under VCES.. Please Clarify

[Brijesh Verma]

Dear Mohd. Lakkadsha

You solution lies in the clarification No. 3 of the FAQ on VCES

Issue No 3

Whether an assessee to whom show cause notice or order of determination has been issued can file declaration in respect of tax dues which are not covered by such SCN or order of determination?

CLARIFICATION

In terms of section 106 (1) of the Finance Act, 2013 and  second proviso thereto, the tax dues in respect of which any show cause notice or order of determination under section 72,section 73 or section 73A has been issued or which pertains to the same issue for the subsequent period are excluded from the ambit of the Scheme. Any other tax dues could be declared under the Scheme subject to the other provisions of the Scheme.

AI Summary

Voluntary Compliance Scheme eligibility: dues subject to show cause notices excluded; other unrelated dues may be declared. Tax liabilities subject to a show cause notice or an order of determination, or pertaining to the same issue for a subsequent period, are excluded from VCES 2013; other tax dues not so covered may be declared under the Scheme subject to its provisions.