What is CBDT New e-Settlement Scheme 2021?
CBDT has to vide Notification No. 129/2021 Income Tax on 01.11.2021 and beneath sections 245D (11) & 245D (12) of the Income-tax Act, 1961 provided e-Settlement scheme, 2021 to settle due income-tax settlement applications assigned to a settlement commission.
Subject Ability & Reach of e-Settlement Scheme, 2021
- It undergoes imposition on its publication date in the Official Gazette, which is 01.11.2021.
- The policy shall be subjected to “pending applications in respect of which the applicant has not exercised the option under sub-section (1) of Section 245M of the Act and which has been allotted or transferred by Central Board of Direct Taxes to an interim board”.
Which Person Advantage Has Been Furnished by E-Settlement Scheme, 2021
The date 31st Jan 2021 on which the relief was furnished to the assessee who was brought as liable to furnish the application however it cannot furnish that because of the cessation of Income Tax Settlement Commission as per the Finance Act 2021, while they get allowed to submit the applicants within 30th Sept 2021 towards the interim board.
Earlier, the CBDT department has been resolving issues via tax dispute settlement or Vivad se Vishwas scheme, which was introduced on 18th March 2020.
Major Functions of the E-settlement Scheme 2021
- As per the E-settlement scheme 2021, an interim board shall finalize the applications with respect to the settlement.
- The proceedings within the interim board will not be available for the general public to review.
- The e-settlement scheme renders that the discussion performed among the Interim Board and assessee will be completely done in electronic mode.
- there shall be no other individual excluding the applicant, their employee, and concerned officers of the interim board or the income-tax authority or the empowered representatives, with no confirmation of the interim board, can sit in the proceedings indeed they are not allowed to attend the videoconferencing or video telephony.
- CBDT will set out the effective facilities for videoconferencing which consists of the telecommunication application software that supports video telephony at the mentioned locations as might be required.
- On the date 31st, Jan 2021 CBDT mentioned that the taxpayer has been entitled to furnish the application for the settlement towards the assessment year to which the application seeks to get furnished and all the concerned assessment proceedings shall remain due under the mentioned date of furnishing the application for the settlement.
- All pleadings within the Interim Board might the choice of the applicant, must be written in Hindi or in English.
- The board specified that these applications if revealed true shall be considered as due applications and thus not get permitted to be withdrawn.
- There is no requirement for the applicant or say his or her individual person to perform any physical appearance to the interim board or within the income tax head or unspecified ministerial staff associated with the Interim Board.
- The interim board planning for its caution will render the publication of the orders or the portions which pose the rulings of the interim board before these amendments under income tax towards the names and the additional particulars attached to it, which they might deem fit.
Presently, the Indian government is running a faceless income tax assessment which was started on 7th October 2019. The scheme is helping many taxpayers who face harassment from tax officers.
