Vivad se Vishwas has helped to settle around Rs 83,000 crore of the contested 9.32 lakh crore amount which was under litigation
Bengaluru: With an aim to sort out tax issues, the Union government started what’s called Vivad se Vishwas (VsV) scheme. Now it would be heartening to note that it has successfully helped to settle around Rs 83,000 crore of the contested 9.32 lakh crore amount which was under litigation, as per a report in Economic Times.
It should be noted that While a total of about 4.8 lakh entities are locked in tax litigation with the Government, nearly a fifth of them at 96,000 entities have opted to go by the scheme which provides for settlement of disputed tax, disputed interests, disputed penalty or disputed fees in relation to an assessment or reassessment order on payment of 100 per cent of the disputed tax and 25 per cent of the disputed penalty or interest or fee.
It should be noted that under the scheme, once an entity opts for it and pays the due tax, the litigation and appeals cases before the Commissioner (Appeals) and tax tribunals to higher courts and in arbitration are deemed to have been withdrawn from the forums, and the interest, penalty and prosecution are also withdrawn.
Owing to the strong response received by the VsV scheme and on the hopes of achieving a higher figure of the disputed amount being settled, the Government has now extended the scheme's last date by a month to 31 January.
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Last Updated Jan 4, 2021, 7:18 PM IST