Mar 14, 2020
Demonetisation scanner: Rajya Sabha passes Vivad Se Vishwas Bill
The direct tax disputes related to unexplained cash deposited in banks during the demonetisation period could be settled under the direct tax dispute resolution scheme. If the assessees opt for the scheme, they need to pay 75% of the unexplained cash deposited in banks as tax, finance minister Nirmala Sitharaman said on Friday in the Rajya Sabha. She added that the scheme was ‘not an amnesty scheme at all’ for cases involving unexplained cash deposit during November 8-December 31 in 2016.
FE had reported earlier demonetisation-related disputes worth as much as Rs 3 lakh crore may avail the scheme as the income tax department had completed the final assessment on all such cases, and many of them had already been challenged in the appellate forum.
Parliament on Friday approved the Direct Tax Vivad Se Vishwas Bill, which was passed by a voice vote and returned by the Rajya Sabha as it was a money Bill. It was approved by the Lok Sabha on March 4. Under the scheme, taxpayers willing to settle disputes would be allowed a complete waiver of interest and penalty if they pay the entire amount of tax in dispute by March 31 this year, following which an additional 10% disputed tax shall have to be paid over and above the tax liability.