Finance Minister Introduces Direct Tax Vivad Se Vishwas Bill In Lok Sabha
The bill seeks to provide for resolution of disputed tax cases involving Rs 9.32 lakh crore and stresses on trust building.
Finance Minister Nirmala Sitharaman on Wednesday presented a bill in Lok Sabha which seeks to provide for resolution of disputed tax including Rs 9.32 lakh crore. Presenting the Direct Tax Vivad Se Vishwas Bill, 2020, the minister said this bill underlines on trust building.
The scheme, she stated, won't be an open-ended scheme and can be availed for a limited time. The bill looks to give a formula-based solution without any discrimination, she said. Giving the basis behind the plan, Ms Sitharaman said it will decrease the litigation expenditure for the government and at the same may help in generating some revenue.
Restricting the introduction of the bill, Congress leader Adhir Ranjan Chowdhury said the bill's name is drafted in Hindi and the government is trying to impose one specific language on the country. Simultaneously it will hurt the government's tax collection, he said.
Resounding comparative sentiments, his party colleague Shashi Tharoor said this bill violates principle of equality by equally treating honest and dishonest tax payers.
In her budget speech on February 1, Ms Sitharaman had declared Vivad se Vishwas plan to resolve 483,000 direct tax disputes pending in different tribunals. Under the scheme, taxpayers whose tax demands are locked in dispute in multiple forums can pay due assessments by March 31, 2020, and get total waiver of interest and penalty.