By CA Sheetal Jain

S J J & Company
• State Government has already taken the step to clear
the old dues & pending cases relating to MVAT Act.
• The same was required at central level also for the
taxes subsumed under GST.
• So now, much awaited Amnesty Scheme has been
proposed by our Finance Minister for Central Excise
& Service Tax Act.
• The New Scheme will be
governed by “Sabka Vishwas
(Legacy Dispute Resolution)
Scheme, 2019”.
S J J & COMPANY Contact - 8983613792
• This Scheme shall be applicable to –
– The Central Excise Act, 1944
– The Central Excise Tariff Act, 1985
– Chapter 5 of the Finance Act, 1994
– And the Rules made there under
– The Agricultural Produce Cess Act, 1940
– He Coffee Act, 1942
– The Rubber Act, 1947
– The Salt Cess Act, 1953
– The Sugar (Special Excise Duty) Act, 1959
– The Textile Committee Act, 1963
– The Produce Cess Act, 1966
– The Additional Duty of Excise Act (Goods of Special
Importance), 1957
– And many other Indirect Enactments….
S J J & COMPANY Contact - 8983613792
All the assessee shall be eligible for the scheme except
the following persons –
• Who have filed Appeal and final hearing done on or
before 30th June, 2019
• Who have been served with the Show Cause Notice and
final hearing has taken place on or before 30th June, 2019
• Who has convicted any offence under Indirect Tax
Enactment,
• Who have been served with the Show Cause Notice for
an erroneous refund or refund
• Who have been subject to an enquiry/investigation/
audit and amount has not been quantified on or before
30th June, 2019
S J J & COMPANY Contact - 8983613792
• Who is making voluntary disclosure
– After being subject to any enquiry or investigation or audit
– Having filed the return and admitted the duty liability but has
not paid the same i.e. filed a payable return
• Who have filed settlement application before Settlement
Commission
• And declaration with respect to excisable goods covered
under Fourth Schedule to the Central Excise Act, 1944
(For Example – Tobacco & Tobacco Products)

• The declaration shall be filed in Electronic Form as

may be prescribed.
S J J & COMPANY Contact - 8983613792
AMOUNT IN ARREARS -
• Amount of duty which is recoverable as arrears of duty on
account of –
– Oder or Order in Appeal against which appeal have not been filed by
the declarant before expiry of time for filing appeal
– A final Order in Appeal relating to the declarant
– Return filed on or before 30th June, 2019 wherein the declarant has
admitted the tax liability but not paid it.
AMOUNT OF DUTY –
• Amount of Central Excise Duty, the Service Tax
and the Cess payable under the Indirect Tax Enactment.
AMOUNT PAYABLE –
• Final amount payable by the declarant as determined by the
designated committee and as indicated in the statement issued
by the designated committee.
S J J & COMPANY Contact - 8983613792
 Disputed Amount Duty Rebate
• Amount involved in the
Single Appeal pending
as on 30th June, 2019
against an order or • If amount of duty is –
order in appeal • Less than or equals to
• Total Amount involved 50.00 Lakh – 70%
in more than one appeal • Greater than 50.00 Lakh –
pending against an 50%
order or order in appeal
– One Appeal by the
Declarant & One by
Department
S J J & COMPANY Contact - 8983613792
 Disputed Amount Duty Rebate
• Amount involved in the
Show Cause Notice
issued before 30th June,
2019 • If amount of duty is –
• If the above Show Cause • Less than or equals to
Notice involve one more 50.00 Lakh – 70%
party both jointly & • Greater than 50.00 Lakh –
severally liable then the 50%
whole amount shall be
considered as “due from
declarant only”

S J J & COMPANY Contact - 8983613792

 Disputed Amount Duty Rebate
• Amount quantified in • If amount of duty is –
the Investigation, Audit • Less than or equals to
or Enquiry on or before 50.00 Lakh – 70%
30th June, 2019 • Greater than 50.00 Lakh –
50%

• Amount voluntarily
disclosed by the declarant • No relief for amount
in the declaration filed by declared voluntarily in
him under this scheme Declaration

S J J & COMPANY Contact - 8983613792

 Disputed Amount Duty Rebate
• Show Cause Notice issued • Then the entire amount
only for late fees or of Late Fees or penalty
penalty and the amount shall be waved
of duty in the said notice
is either nil or have
already been paid

• If amount of duty is –
• Amount related to an
• Less than or equals to
Amount in Arrear 50.00 Lakh – 60%
(Explained in previous • Greater than 50.00 Lakh –
slides) 40%

S J J & COMPANY Contact - 8983613792

• The relief calculated as per above provisions shall be
subject to adjustment for the amount paid as pre-
deposit, if any, at any stage of appellate proceedings
under the Indirect Tax Enactment.

• If the amount paid as pre-deposit exceed the

liability assessed as per statement issued by the
designated committee under this scheme,
the excess amount shall not be
eligible for refund.

S J J & COMPANY Contact - 8983613792

• The declarant has to file a declaration in the
prescribed form before the designated committee.
• Designated Committee shall verify the correctness
of declaration except in case of voluntary
declaration.
• After verification Designated Committee issue the
statement –
– within the period of 60 days from the date of filing of
Declaration if amount assessed by the Committee equals
the amount declared by the Declarant
– within the period of 30 days from the date of filing of
Declaration if amount assessed by the Committee exceed
the amount declared by the Declarant (Opportunity of
being heard shall be granted)
S J J & COMPANY Contact - 8983613792
• The declarant has to pay the dues as per the
statement issued by the designated committee within
a period of 30 days from the date of such statement.
• If the declarant has filed an appeal against the SCN
or Order before any appellate forum except Supreme
Court or the High Court then the same shall be
deemed to have been withdrawn.
• If the declarant has filed an appeal or a writ petition
before the Supreme Court or any High Court then
declarant has to file application before such forum for
withdrawal of such appeal or writ petition and has
to furnish proof to the Committee.
S J J & COMPANY Contact - 8983613792
• On payment of dues as per statement issued by the
declarant, Designated Committee shall issue
Discharge Certificate within 30 days from the date
of said payment.
• Designated Committee can modify the order if there
is any arithmetical or clerical error found in the
statement within the period of 30 days from the date
of its issuance.
• Discharge Certificate shall be conclusive for the
matter and time period covered therein and declarant
shall not be liable for any further penalty, interest, or
penalty relating to the said matter and covered
period.
S J J & COMPANY Contact - 8983613792
• Any amount assessed to be paid under this scheme –
– Shall not be paid through Input Tax Credit
– Shall not be refundable
– Shall not be allowed to be claimed as ITC by the
Declarant or by any other party

The Date from which this Scheme Shall be applicable

is yet to be notified.
Further the period for which such Scheme shall be
valid is also yet to be decided.

S J J & COMPANY Contact - 8983613792

 CA Sheetal Jain
Cell: 8983613792
Email – casheetaljain5@gmail.com
S J J & COMPANY