Circular no. 03 of 2021, dated 04-03-2021

The Direct Tax Vivad se Vishwas Act, 2020 was enacted on 17-03-2020 with the objective of inter alia reducing pending income lax disputes, generating timely revenue for the Government and benefitting taxpayers by providing them peace of mind, certainty and savings on account of time and resources.

The Central Board of Direct Taxes (CBDT) has received representations from the field authorities that there is no provision available to the Assessing Officer to give effect to the order passed by the designated authority (DA) under the Vivad se Vishwas Act for full and final settlement of the tax arrears.

In view of the foregoing, and in exercise of the powers conferred on the Board under section 10 of Direct Tax Vivad se Vishwas Act, 2020, the board has clarified that AO shall require to pass consequential order under the Income-tax Act after the passing of orders by the DA passed orders under the Direct Tax Vivad se Vishwas Act, 2020.

CBDT lists down ‘potential cases’ for issue of reassessment notice for AY 2013-14 to 2017-18