SABKA VISHWAS (LEGACY DISPUTE RESOLUTION) SCHEME, 2019

1. SABKA VISHWAS (LEGACY DISPUTE RESOLUTION) SCHEME, 2019 (To come into force on 1st September 2019)

2. Objectives of the scheme… • The Scheme is a one time measure for liquidation of past disputes of Central Excise and Service Tax 1 • The Scheme provides that eligible persons shall declare the unpaid tax dues and pay the same in accordance with the provisions of the Scheme 2 • The Scheme provides for certain immunities including penalty, interest or any other proceedings including prosecution to those persons who pay the declared tax dues 3

3. Cases covered under the Scheme… • A show cause notice or appeals arising out of a show cause notice pending as on the 30th day of June, 2019 • An amount in arrears • An enquiry, investigation or audit where the amount is quantified on or before the 30th day of June, 2019 • A voluntary disclosure

4. Exclusions from the Scheme… • Cases in respect of excisable goods set forth in the Fourth Schedule to the Central Excise Act, 1944 (this includes tobacco and specified petroleum products) • Cases for which the taxpayer has been convicted under the Central Excise Act, 1944 or the Finance Act, 1944 • Cases involving erroneous refunds • Cases pending before the Settlement Commission

5. Benefits under the Scheme… • Total waiver of interest and penalty • Immunity from prosecution • Cases pending in adjudication or appeal, a relief of 70% from the duty demand if it is Rs. fifty lakh or less and 50% if it is more than Rs. fifty lakhs. • The same relief for cases under investigation and audit where the duty involved is quantified on or before 30th June, 2019. • In case of an amount in arrears, the relief offered is 60% of the confirmed duty amount if the same is Rs. fifty lakhs or less and it is 40% in other cases. • In cases of voluntary disclosure, the declarant will have to pay full amount of disclosed duty.

6. Other features of the Scheme… • Facility for adjustment of any deposits of duty already made • Settlement dues to be paid in cash electronically only and cannot be availed as input tax credit later • A full and final closure of the proceedings in question. The only exception is that in case of voluntary disclosure of liability, there is provision to reopen a false declaration within a period of one year. • Proceedings under the Scheme shall not treated as a precedent for past and future liabilities • Final decision to be communicated within 60 days of application • No final decision without an opportunity for personal hearing in case of any disagreement • Proceedings under the Scheme will be fully automated

7. How to Apply for SVLDRS, 2019… • The taxpayer can apply for this scheme from https://cbic-gst.gov.in > SVLDRS • The taxpayer already registered under CE / ST can login and fill Part-B of SVLDRS Form-1. • The unregistered taxpayer can register himself by filling Part-A of SVLDRS Form -1.

8. Unregistered taxpayers can file SVLDRS 1 declaration by registering here. Registered taxpayers to proceed directly by clicking on ‘Apply SVLDR’ Scheme’ Enter valid email, mobile and PAN. Special characters allowed in password are :‘ , . _ - /’

9. Dashboard of the registered taxpayer

10. Taxpayer select the scheme

11. The answer to first four question should be “No” in order to apply for this scheme.

12. Different categories available under this scheme. The taxpayer will select only one category , one subcategory and one duty type.

13. Litigation category has 3 sub-categories

14. Arrears category has 2 sub-categories

15. Investigation category has 3 sub-categories

16. Table for voluntary disclosure

17. Applicant must select ‘no’ if his case is NOT under adjudication by ADG (Adjudication), Delhi. Otherwise he may fill all other fields as applicable.

18. By using “+” button of the Action column , the taxpayer can add rows for entering the details of other duty details which were not covered in upper rows.

19. Tax Payer to select yes if he agrees with the ‘tax dues minus tax relief’ amount calculated

20. If the taxpayer doesn’t agree with the computer generated amount then the taxpayer can enter amount as per his calculation.

21. By clicking the submit button, Form SVLDRS-1 will be submitted to concerned Committee of jurisdictional CBIC officers. Application Reference Number will be generated and the taxpayer will be informed via email and SMS.Once submitted, SVLDRS 1 declaration can NOT be amended.For each Show cause notice/order/undisclosed liability, taxpayer will have to submit a separate SVLDRS 1 application

23. The Committee of concerned jurisdictional CBIC officers would view the SVLDRS 1 declaration submitted

24. The Committee may choose to issue SVLDRS 2 (Estimate) or SVLDRS 3 (Statement).

25. SVLDRS-2 In case the committee doesn’t agree with the amount estimated by taxpayer/system generated

26. If the taxpayer doesn’t agree with SVLDRS-2 and in case want adjournment.

27. Adjournment of PH and issuance of second PH date by the Committee

28. SVLDRS-3 form is issued for final amount of tax to be paid by the taxpayer

30. Taxpayer can generate Challan to make payment on cbic-gst.gov.in via NEFT/RTGS Uploading proof of withdrawal of appeal is must wherever relevant.

31. SVLDRS-4 form is the discharge certificate issued by the committee after payment of Duty/Tax/Cess and submission of proof of withdrawal of appeal (If applicable).

32. For Queries….. For technical queries contact: CBIC Mitra Helpdesk Toll Free No. 1800-1200-232 Cbecmitra.helpdesk@icegate.gov.in Cbec-gst.gov.in>HELP>SELF SERVICE For procedural and law related queries contact: Smt. V. Usha Sh. NavrajGoyal Principal Commissioner, CE/ST,CBIC Additional Commissioner,CE/ST.CBIC v.usha@gov.innavraj.goyal@nic.in