The Central Board of Indirect Taxes and Customs (CBIC) has issued clarifications on the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 (the Scheme) announced in the Union Budget 2019. The key clarifications have been captured in this alert.
It has been clarified that voluntary disclosures are eligible under the Scheme barring the specified exclusions mentioned in the Scheme.Â
SCN covering multiple issues
In relation to declaration being filed under the Scheme in respect of a Show Cause Notice (SCN) covering multiple issues, all issues have to be covered under the declaration. Thus, the applicant cannot be selective about the issues/disputes covered in a SCN which he wishes to cover in his declaration under the Scheme.
Applicability of the Scheme to certain orders
The Scheme should not be applicable in cases where an adjudication order has been passed and received prior to 30 June 2019, but the appeal is filed on or after 1 July 2019.
Waiver of interest and penalty
In all the cases, total waiver of interest, penalty, and fine would be provided under the Scheme.
Refund under the Scheme
There would not be a refund of any amount paid under the Scheme. Further, in a case where pre-deposit or other deposit already paid exceeds the amount payable under the Scheme, the difference would not be refunded.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.