Barking up the wrong tree?

Instead of pursuing Vivad Se Vishwas, greater focus on collecting tax dues without dispute may yield better results

The Union finance ministry is understandably keen on the success of its tax dispute settlement scheme — Vivad Se Vishwas. Launched this year, the scheme was aimed at helping direct taxpayers end their disputes with the government by letting them pay the disputed tax amount, get a waiver from the payment of interest as well as penalty and secure immunity from prosecution.

Only those tax disputes against which appeals were filed on or before January 31, 2020, are eligible to claim the benefits under the scheme. The last date for filing declarations for tax dispute settlement is December 31, 2020. Two