Facts of the Case

The assessee filed an appeal before the Income Tax Appellate Tribunal, Allahabad Bench, against the order passed by the Commissioner of Income Tax (Appeals) for Assessment Year 2008-09.

During the course of hearing before the Tribunal, the assessee informed the Bench that she had opted for the Vivad Se Vishwas Scheme, 2024. It was submitted that Form-1 under the Scheme had already been filed and the assessee was awaiting issuance of Form-2 from the competent authority.

 

Issues Involved

  1. Whether the appeal pending before the ITAT survives after the assessee opts for the Vivad Se Vishwas Scheme, 2024.
  2. Whether the assessee should be granted liberty to seek restoration of the appeal if the settlement under the Scheme does not materialize.

 

Petitioner’s Arguments

The assessee submitted that since the dispute had been taken to the Vivad Se Vishwas Scheme, 2024 and Form-1 had been filed, the pending appeal had become infructuous. Accordingly, the assessee requested that the appeal be treated as withdrawn.

 

Respondent’s Arguments

The Revenue expressed no objection to dismissal of the appeal as infructuous in view of the assessee having opted for the Vivad Se Vishwas Scheme, 2024.

 

Court Order / Findings

The Income Tax Appellate Tribunal observed that the assessee had opted for the Vivad Se Vishwas Scheme, 2024 and had already filed Form-1, while awaiting further action from the designated authority. In view of this development, the Tribunal held that the appeal had become infructuous.

Accordingly, the appeal was dismissed as infructuous and treated as withdrawn on account of the assessee opting for the Vivad Se Vishwas Scheme.

 

Important Clarification

By way of abundant caution, the Tribunal clarified that the dismissal of the appeal as infructuous would not prejudice the rights of the assessee. If it is subsequently found that the dispute is not settled under the Vivad Se Vishwas Scheme, 2024, the assessee would be at liberty to approach the Income Tax Appellate Tribunal for restoration of the appeal in accordance with law.

Link to download the order -  https://www.mytaxexpert.co.in/uploads/1770880039_KANTISRIVASTAVALEGALHEARSMT.RAANJANACHANDRAALLAHABADVS.INCOMETAXOFFICERWARD15ALLAHABAD.pdf 

Disclaimer

This content is shared strictly for general information and knowledge purposes only. Readers should independently verify the information from reliable sources. It is not intended to provide legal, professional, or advisory guidance. The author and the organisation disclaim all liability arising from the use of this content. The material has been prepared with the assistance of AI tools.