Home Case Index All Cases Service Tax Service Tax + HC Service Tax - 2023 (6) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (6) TMI 1002 - HC - Service TaxSabka Visvas (Legacy Dispute Resolution) Scheme, 2019 - amount deposited by the petitioner no. 1 – Company were proposed to be adjusted against the demand and penalties proposed to be imposed on both the petitioners and interest was also proposed to be recovered from the petitioner no. 1 – Company - HELD THAT:- It is clear that the petitioners paid total amount of Rs. 19,12,196/- towards the duty and, thereafter, voluntarily made statement before the Tribunal that an amount of Rs. 5,00,000/- towards the penalty will be deposited. Thus, we are of the view that Rs. 5,00,000/-, which was deposited by the petitioners pursuant to the order passed by the Tribunal, cannot be considered towards the amount of “tax due” as the said amount was deposited towards the penalty. Thus from the provision of the Scheme, 2019, it is clear that where the tax dues are relatable to an amount in arrears and the amount of duty is Rs. 50,00,000/- or less then, 60% of the tax dues are required to be paid under the Scheme, 2019. Thus, relief to the aforesaid extent is available to the declarant - in view of the aforesaid Scheme, 2019, amount paid as pre-deposit at any stage of the appellant proceedings or the amount paid towards the deposit during enquiry, investigation and audit, is required to be considered while calculating the amount of tax due. It can be said that the basic object of the Scheme, 2019 is to reduce litigation by allowing the eligible assessee to make the payment of the outstanding dues after availing the relief under the Scheme, 2019. The petitioners herein made bona fide attempt to make the payment as determined under the Scheme, 2019 and the petitioners are also ready to pay the amount in question in accordance with law along with interest for the period for which the petitioners were not permitted to make the payment by the respondents. Therefore, this is a fit case for invocation of powers under Article 226 of the Constitution of India. The present petition stands allowed partly. The respondent authorities are directed to accept the payment of Rs. 1,22,318/- as specified in SVLDRS-3 along with interest @ 9% per annum from 30.06.2020 till the date of payment and grant the benefit of the Scheme to the petitioner.
|