TaxTMI 
TaxTMI 
Sabka Vishwas Scheme Voluntary Disclosure verification subsequently
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....abka Vishwas Scheme Voluntary Disclosure verification subsequently<br> Query (Issue) Started By: - Parimal Kulkarni Dated:- 7-11-2020 Last Reply Date:- 10-11-2020 Service Tax<br>Got 8 Replies<br>Service Tax<br>An application is filed under SVLDRS under voluntary disclosure category. However, now the department range officer wishes to initiate inquiry and called for verification of documents under ....
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....section 129 (2) (c) of Finance Act, 2019 (2). In our view such verification cannot be called for under section 129(2)(c) or under any section of SVLDRS. 129(2)(c) : in a case of voluntary disclosure where any material particular furnished in the declaration is subsequently found to be false, within a period of one year of issue of the discharge certificate, it shall be presumed as if the declarat....
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....ion was never made and proceedings under the applicable indirect tax enactment shall be instituted. Please share your views Reply By KASTURI SETHI: The Reply: The following are exceptions to conclusiveness of discharge certificate under Section 129(2) : 1. The department can issue SCN for the same matter for a subsequent period ; OR 2. For a different matter for the same period. Pl. read car....
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....efully. Matter may be same but period will different. Matter may be different but period will be same for the purpose of investigation. Reply By Parimal Kulkarni: The Reply: Thank you for your reply to which I agee. The question here is they want to verify the declaration of SVLDRS. So the "matter and period" is the same for which declaration is filed, which in my view is not covered. ....
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.... Reply By Parimal Kulkarni: The Reply: If we read section 129 (2) it contains "notwithstanding section 129(1)", so it appears they can pick up the voluntary declarations for verification under 129 (2) (c). Reply By KASTURI SETHI: The Reply: In order to clarify the concept, I am giving following hypothetical situation :- An illustration :- Suppose you have filed declaration for 15-16....
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.... and an issue involved was misclassification of service. The department can initiate investigation in the following ways :- First possibility : If the issue involved is of misclassification, the department can investigate for subsequent period i.e. from 16-17 onwards on the same issue. Second possibility : If the issue involved is other than the issue declared by you but the period is same i....
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.....e. 15-16 the department can initiate investigation for the period from 15-16 and onwards for the purpose of recovery. In both the illustrations, the element of falsification is present. Reply By KASTURI SETHI: The Reply: If declaration is correct and true and not hit by the elements of , "Matter and Time", one need not worry. One should not be victim of phobia of the department. Let....
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.... the department verify in routine fashion. Reply By Parimal Kulkarni: The Reply: Yes. agree. However, it is important to check legal provisions so both sides do not exceed their limits. Reply By Ganeshan Kalyani: The Reply: The department might have found some query / doubt wrt declaration filed and want to verify the same. Hence, they are investigating u/s 129(2)(c) which allows the authorit....
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....y to do so. And I agree with both of your views also. Reply By KASTURI SETHI: The Reply: Sh.Kulkarni Ji, Yes. You are absolutely right.<br> Discussion Forum - Knowledge Sharing ....