Article
Faceless Penalty Scheme, 2021
By Sriram Vijayaraghavan and Snehal Shukla
The article in this issue of Direct Tax Amicus discusses the recently introduced Faceless Penalty Scheme, 2021 which has come into effect from 12 January 2021. The authors highlight various salient features of the Scheme like, authentication and delivery of electronic record, absence of physical interface between the assessee and revenue authorities, team-based proceedings and dynamic jurisdiction, etc., while also elaborating on the procedure to be followed in penalty proceedings and in proceedings for rectification. Various points which are important for the assessees have also been covered. According to the authors, though the Scheme is expected to reduce the chances of error, risk management strategy and automated examination tool have not been defined in the Scheme. Similarly, the circumstances in which the assessee may be granted a right to personal hearing via video conferencing has not been provided. We would have to wait for CBDT’s clarification to get a better understanding...
Notifications
- Extension of the deadline of Vivad se Vishwas Scheme
Ratio decidendi
- Rectification – Limitation commences from original order if issue in consideration is not appealed – ITAT Bengaluru
- TDS exemption on LTC when employee takes a circuitous route involving a foreign leg – ITAT Mumbai
- No liability of withholding tax if provision not present on date of payment – Subsequent retrospective change in law is not material – ITAT Pune
- No TDS on sale of assets by liquidator – IBC Section 53 to have overriding effect on Section 194-IA of Income Tax Act – NCLAT
- Adjustment of refund against outstanding demand without issuance of intimation under Section 245 is illegal – Adjustment of refund against stayed demand is also illegal – Telangana High Court
- Absence of specific mention on retrospectivity of the provision makes it prospective – Madras High Court
