Vivad Se Vishwas Scheme: Disputes Amounting To Rs 98,328 Cr Resolved As Govt Nets Rs 53,346 Cr

The government has received a total of 1,28,733 declarations for resolution of tax disputes amounting to Rs 98,328 crore and payment of Rs 53,346 crore have been made by taxpayers under the Vivad Se Vishwas scheme till 1 March 2021.

These include 1,393 declarations by central public sector units (PSUs) and 833 declarations by state boards.

This was stated by Anurag Singh Thakur, union minister of state for finance and corporate affairs, in a written reply to a question in Lok Sabha on Monday (8 March), the ministry of finance said in a statement.

The minister further said that an amicable resolution of a large number of pending tax disputes was the primary objective of the scheme. Collection of revenue blocked in litigation is an added advantage that has accrued to the government.

The total number of pending tax disputes as on the eligibility date was 5,10,491. The 1,28,733 declarations relate to 1,43,126 pending disputes (including cross appeals). Thus, the declarations received under the scheme cover more than 28 per cent of pending tax disputes, the minister stated.

Giving more details, the Minister stated that in order to impart greater efficiency, transparency and accountability to the process of disposal of appeals by the commissioner (Appeals), the faceless appeals scheme, 2020 was notified in September 2020.

Under this scheme, appeals before the commissioner (Appeals) will be disposed of by eliminating the interface between the commissioner (Appeals) and the appellant in the course of appellate proceedings to the extent technologically feasible.

The Vivad Se Vishwas scheme was announced by union finance minister Nirmala Sitharaman during her budget speech on 1 February, 2020. The scheme aims to settle the huge number of pending direct tax cases.

The amnesty scheme, at present, covers disputes pending at the level of commissioner (appeals), Income Tax Appellate Tribunals (ITAT), high courts, the Supreme Court and those in international arbitration.

It offers a complete waiver on interest and penalty to the taxpayers who pay their pending taxes. The scheme aims to resolve 4,83,000 direct tax-related disputes pending in various appellate forums.