Section 128A Eligibility

[Vigneshwari M]

Hi,

Can we consider applying for Section 128A Amnesty scheme for cases where Interest is demanded for ITC reversal done under Rule 37?

Can this interest be considered under the scope of Interest on 'self assessed tax'?

Thanks,

[Shilpi Jain]

Recent circular confirms that even for a notice/order only for interest and penalty would also be eligible for the scheme.

AI Summary

Amnesty scheme eligibility extended to notices/orders seeking only interest or penalty, including interest on ITC reversal. A recent circular confirms that the amnesty scheme covers notices or orders seeking only interest and penalty; accordingly, interest demanded for reversal of Input Tax Credit under Rule 37 qualifies as a demand for interest and is eligible under the scheme, so standalone interest/penalty demands arising from ITC reversals should be treated as within the amnesty scope.