NEW DELHI: Taxpayers availing of the Vivaad Se Vishwas Scheme will have to pay only half of the disputed amount in cases where the income tax department has filed an appeal, as per recent amendments to the Direct Tax Vivad Se Vishwas Bill that were cleared by the Cabinet The scheme, which was announced in the Budget to resolve pending disputes worth Rs. Penalty and interest will be waived. Similarly, in case the amount of penalty, interest or fee is the matter of dispute, 30% will have to be paid.In case of appeals made by the tax department, or where the I-T department has lost a case, 50% of disputed tax will have to be paid, and 12.5% more in case of search cases. Penalty and interest will be waived, here too. The Rs 5 crore limit for search cases will be computed year wise, the amendment revealed, which means a taxpayer can avail the settlement option for the years where the disputed tax is less than Rs 5 crore.

Source: Economic Times February 18, 2020 01:07 UTC