Sabka Vishwas（旧紛争解決）スキーム 2019 | 2019年財政法第5章

Government introduces the “Amnesty Scheme” to resolve long pending litigation by granting a waiver in tax, interest, and penalty amount to some extent. Dictionary meaning of Amnesty is “an official pardon for people who have been convicted of political offenses”. The major objective behind such Sabka Vishwas (Legacy Dispute Resolution) scheme is to resolve litigation without wasting the time of departmental authorities and attractive tax reliefs are provided so that the maximum taxpayers can pay their defaulted amounts.

On the same lines, an Amnesty scheme in name of  Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 (“SVLDRS” or “Scheme”)” has been introduced wide Chapter V of Finance Act, 2019 wherein the Government has provided option to resolve litigation pending under Central Excise Act, Finance Act, 1994 and other notified acts by way of granting a partial waiver from liability of tax, interest, and penalty.

While availing benefits under Sabka Vishwas (Legacy Dispute Resolution) Scheme or while filing declaration, taxpayers faced various issued and accordingly, various representations were filed with the department to clarify issues involved.

Therefore, in continuation of the Finance Act, 2019 and rules thereunder, the Central Board of Indirect Taxes & Customs (“CBIC” or “Department”) has clarified various issues involved in Sabka Vishwas (Legacy Dispute Resolution) Scheme wide Circular No.  1072/05/2019-CX dated 25^th September 2019.

In this article, we will discuss the Sabka Vishwas (Legacy Dispute Resolution) Scheme in detail covering various aspects including issues clarified by the department as follows:

1. Applicability of Scheme to Indirect Tax Enactments (Section 122)

Section 122 of Finance Act, 2019 provides a list of the act for which benefit of the scheme shall be available to taxpayer which mainly includes:

• Central Excise Act, 1944 or
• Central Excise Tariff Act, 1985 or
• Finance Act, 1995 or
• Other act specified in Section 122(b) or
• Any other act, as Central Government may notify from time to time.

2. Eligible persons to file an application under Sabka Vishwas (Legacy Dispute Resolution) SVLDRS:

1. Benefit of Sabka Vishwas Dispute scheme is not available to every ongoing litigation or matter in dispute under the above-mentioned acts. 

2. Section 125(1) specifies that all persons are eligible to make a declaration under the scheme except the following persons:

• Who has filed an appeal before the appellate forum and such appeal has been finally heard on or before 30^th June 2019.
• Who has been convicted for any offense punishable under Indirect tax enactments for the matter for which he intends to file declaration. Therefore, barring is given for those matters only for which the taxpayer has been convicted. He is still eligible to file a declaration for any other eligible matter.
• Show Cause Notice issued under Indirect tax enactments and it has been finally heard on or before 30th June 2019.
  • (CBIC has clarified vide circular that Benefit of the scheme shall be available to person where the final hearing has taken place before 30th June 2019, if appellate/adjudication order is passed and has attained finality or appeal period, is over and other requirements of schemes are fulfilled.)
• Show Cause Notice issued for erroneous refund or refund
• A person who has been subject to any inquiry or investigation or audit and the amount of duty involved is not quantified till 30th June 2019.
  • (If balance sheet, profit & loss A/c or any other document is called under Section 14 of Central Excise Act, 1944 then designated committee will decide on the basis of facts and circumstances that whether provisions of section 125(1)(f) are attracted to the case or not- as clarified by circular)
• A person making voluntary disclosure after being subject to any inquiry or investigation or audit.
• A person making voluntary disclosure having filed a return under indirect tax enactment wherein the amount has been indicated as payable but it was not paid.
• Against an application filed with settlement commission for the settlement of the case.
• Declarations with respect to excisable goods set forth in 4^th Schedule to Central Excise Act, 1944.

3. Declaration under Scheme (Sabka Vishwas Dispute) is made in electronic form through Form SVLDRS-1 as notified in the Sabka Vishwas (Legacy Dispute Resolution) Scheme Rules, 2019 at https://www.cbic-gst.gov.in/cbec-portal-ui/?amnestyScheme.

4. Accordingly, while filing the application, Sr. No. 8 of Part-B of form SVLDRS-1 will pop up a list of eligibility conditions to ensure that person filing declaration is eligible to do so.

5. Upon selection of all applicable answers, system will automatically disallow ineligible persons to file a declaration.

6. However, if any person provides incorrect information in form SVDLRS-1 which makes him eligible for the scheme, even though he is ineligible, then such declaration shall be considered as void and such person shall be informed about his ineligibility through the letter (as clarified by circular)

3. Category for filing of the application in form SVLDRS-1 Sabka Vishwas (Legacy Dispute Resolution)

While filing declaration in form SVLDRS-1, an applicant is required to select category under which he is filing application. Form will provide the following categories along with corresponding sub-categories to file declaration:

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# If a taxpayer opts for relief under SVLDRS and he doesn’t want to file appeal even though the time period for filing of appeal is not over then circular has clarified that the taxpayer can file a declaration under the Scheme provided he gives in writing to the department that he will not file an appeal and such declaration shall be binding on the taxpayer.

* it has been clarified vide circular that If a Declarant has filed a return but not paid duty for multiple returns then declaration under SVLDRS shall be made separately for each return.

4. Meaning of “Tax Dues”

Tax relief under the scheme Sabka Vishwas (Legacy Dispute Resolution) is given as a percentage of “Tax Dues”. Accordingly, it is important to know the meaning of “Tax Dues” so that benefit under the scheme Sabka Vishwas (Legacy Dispute Resolution) can be computed. Section 122 has defined “Tax Dues” as follows:

*Provided that if SCN is issued to the declarant and other persons making them jointly and severally liable for an amount, then, the amount indicated in such notice as jointly and severally payable shall be taken to be the amount of duty payable by the declarant

5. Relief Available under Scheme

On the filing of declaration under the Scheme Sabka Vishwas (Legacy Dispute Resolution), the declarant shall be provided with the following relief as given under section 124(1):

Note: The relief calculated above shall be subject to the condition that any amount paid as pre-deposit at any stage, shall be deducted when issuing the statement indicating the amount payable by the declarant. Further, if the amount of pre-deposit or deposit already paid by the declarant exceeds the amount payable by the declarant, as indicated in the statement issued by the designated committee, the declarant shall not be entitled to any refund.

Further, the following clarifications have been provided:

• Circular has clarified that “Tax dues” are the amount of duty which is outstanding against the declarant after adjusting taxes already paid.  Such payment may be in the form of pre-deposit appropriated or paid subsequently by the taxpayer voluntarily against the outstanding amount.

• Accordingly, relief under section 124(1)(c), Sabka Vishwas (Legacy Dispute Resolution) shall be computed on the net outstanding amount.

• However, ifdeclaration is made under any other category, the relief shall be applied tothe outstanding amount and thereafter the pre-deposit/deposit shall beadjusted.

• If declarant deposits tax amount without interest and later on an SCN is issued to him demanding such interest then relief under SVLDRS is also available against such interest amount

6. Verification and Further processing of declaration by Designated Committee:

1. Designated committee shall verify the correctness of the declaration made by the declarant. However, no such verification shall be made in case where a voluntary disclosure is made by the declarant.

2. Issue of statement by Designated Committee:

a. Same amount determined as payable by Designated Committee

Where the amount estimated by designated committee is equal to amount declare by the declarant then designated committee shall issue in electronic form, a statement, indication amount payable within 60 days of receipt of the declaration.

b. Excess amount determined as payable by Designated Committee

• Where an excess amount is estimated by the Designated committee as payable by the declarant, then the designated committee shall issue an estimate within 30 days of receipt of the declaration.
• The designated committee shall give an opportunity of being heard to the declarant, if he so desires, before issuing the final statement of the amount payable by the declarant. However, on sufficient cause being shown by the declarant, only one adjournment may be granted by the designated committee.
• After hearing the declarant, a statement in the electronic form indicating the amount payable by the declarant shall be issued within a period of 60 days from the date of receipt of the declaration

3. Declarant shall make payment of the final amount electronically through internet banking within 30 days from the date of issue of such statement

4. Where the declarant has filed an appeal or reference or a reply to the show-cause notice against any order or notice giving rise to the tax dues, before the appellate forum, other than the Supreme Court or the High Court, then, notwithstanding anything contained in any other provisions of any law for the time being in force, such appeal or reference or reply shall be deemed to have been withdrawn.

みなし取り下げの規定は、当局側の不服申し立て（存在する場合）にも適用されることが通達により明確化されました。さらに、当局側の不服申し立てが高等裁判所または最高裁判所に係属している場合、当局は免責証明書の発行後、当該不服申し立て、令状、または付託の取り下げ申請を行うものとします。また、すでに訴追が開始されている場合は、免責証明書の発行後、2015年10月23日付通達第1009/16/2015-CX号に定められた手続きに従って訴追を取り下げる必要があります。

5. 申告者が税務上の債務に関する命令に対し、高等裁判所または最高裁判所に令状の請願、不服申し立て、または付託を行っている場合、申告者は当該裁判所に対して当該令状の請願、不服申し立て、または付託の取り下げ申請を行うものとします。裁判所の許可を得て当該令状の請願、不服申し立て、または付託を取り下げた後、申告者は支払い証明書とともに、その取り下げの証明を指定委員会に提出しなければなりません。

6. 納付すべき金額の支払いおよび支払い証明書の提出後、指定委員会は30日以内に免責証明書を電子形式で発行します。

7. 誤りの訂正

指定委員会は、記録上明白な計算上の誤りまたは事務的な誤りを訂正する場合に限り、明細書の発行日から30日以内にその命令を修正することができます。

8. 免責証明書の発行による事項および期間の確定

第126条に基づき発行されるすべての免責証明書は、そこに記載された事項および期間に関して確定的なものとし、

• 申告者は、それ以上の関税、利息、または罰金を支払う義務を負わないものとします。

• 申告者は、間接税法に基づき訴追される義務を負わないものとします。

• 当該申告によって対象となる事項および期間については、間接税法に基づく他のいかなる手続きにおいても再審理されないものとします。

• 不服申し立て、申請、再審、または付託の当事者であるいかなる者も、本制度に基づく免責証明書の発行により、中央物品税当局が係争中の問題に関する決定を黙認したと主張してはなりません。

• 特定の事項および期間に関する免責証明書の発行は、以下の理由による理由説明通知の発行を妨げるものではありません：
  • 同一事項に関するその後の期間について、または
  • 同一期間に関する異なる事項について。

• 自主開示の場合において、免責証明書の発行から1年以内に、申告書に記載された重要な事項に虚偽があることが判明したときは、申告は最初から行われなかったものとみなされ、適用される間接税法に基づく手続きが開始されるものとします。

9. 本制度における制限：

本「サブカ・ヴィシュワス（レガシー紛争解決）制度」に基づいて支払われた金額は、以下の通りとします：

• 仕入税額控除（ITC）を通じて支払うことはできず、また
• いかなる状況においても返金されないものとします。
• 仕入税額控除として扱われることはなく、また受領者として仕入税額控除を受ける権利を何人にも付与しないものとします。

すでに支払われた事前預託金またはその他の預託金が、指定委員会の明細書に示された納付額を超える場合でも、その差額は返金されません。