Apr 07, 2021
Vivad Se Vishwas: Govt nets Rs 54,000 crore, half of it from PSUs
The Centre’s tax resolution scheme ‘Vivad Se Vishwas’ has resolved nearly a third of all direct tax disputes and has netted Rs 54,005 crore in tax revenue, 51% of which are from the central PSUs, Central Board of Direct Taxes (CBDT) chairman PC Mody told FE.
Although the expectations regarding the scheme was much higher — the government had originally set a target to collect Rs 2 lakh crore by the end of March 2020, but the Covid-19 pandemic upset the calculations — the government still flags the scheme as a success, citing that a 1998 scheme could only mop up Rs 739 crore with a resolution of a few thousand disputes and another one in 2016 managed to resolve just 8,600 cases involving a tax demand of `631 crore.
“The numbers suggest that the scheme has been a “very successful” in terms of reduction of legacy disputes. With assessments happening in a fairer and objective manner now, disputes generation will be less going forward,” Mody said.