CBDT Issues Key Clarification on Appeals Timeline for Vivad Se Vishwas Scheme 2024

An a bid to address challenges arising from the implementation of the Direct Tax Vivad Se Vishwas Scheme, 2024, the Central Board of Direct Taxes (CBDT) has issued a clarification through a gazette notification dated January 20, 2025.

CBDT Issues Key Clarification on Appeals Timeline for Vivad Se Vishwas Scheme 2024

The scheme, enacted via the Finance (No. 2) Act, 2024, and effective from October 1, 2024, aims to resolve direct tax disputes amicably. However, specific scenarios have posed complications, including cases where:

An order was passed before the specified date of July 22, 2024.

The time to file an appeal against such an order was still valid on the specified date.

Appeals were filed after July 22, 2024, within the allowable timeframe.

The appeal was submitted without a delay condonation application.

To eliminate ambiguity, the Central Government has now mandated that such appeals will be deemed pending as of July 22, 2024. These appellants will be considered eligible under the scheme, and disputed tax will be calculated based on the filed appeals. The relevant rules of the scheme will apply to these cases accordingly.

The order, issued under Section 98 of the Finance (No. 2) Act, 2024, underscores the government`s commitment to resolving tax disputes efficiently while ensuring clarity in procedural guidelines.

Taxpayers are advised to review their cases and seek professional guidance to benefit from the scheme before its stipulated deadlines.