File an appeal against impugned order imposing fine
2) the notraial register does not bear your signature
3) there is no evidence that you paid one crore
IT department fined me in 2019. Should I enroll in Vivad se Vishwas or appeal in Tribunal?
Hi Taxation experts Please help me The case is - I purchased a property back in 2012 for 40 Lac. In the initial talks with the seller, the amount which seller and I were discussing was 1 Cr. The seller made the Biana/Bayana and got it notarized for the total sale of 1 Cr. The notary entry has signature of the seller and his witnesses. That notary entry does not have my signature nor I was present when this notarised entry was done. When I consulted about the amount of the property with some of my relatives, I got to know that the value of the property was only 40 Lac. I asked seller that I will only buy the property for 40 Lac. The seller agreed and a registered sale deed was made with both of our signatures and the deal was finalised for 40 Lac and the registered sale deed is of 40 Lacs. Now in 2019, Income tax department found that Notarised entry in the Notary register on which the amount was 1 Cr. But the registered sale deed is of 40 Lakhs. I contacted the seller to say or write in my favour in the IT dept but he refused. Note - The Biana/Bayana is not there with anybody. Income tax department are using Notarised entry as their base to fine me. They are saying that I bought the property by paying 1 Cr and not 40 Lac. The verdict of Income tax department - Income tax department fined me for rest of the 60 lakhs. I am currently in big dilemma whether to enroll myself in Vivad se Vishwas scheme or not. The last date for declaration in the scheme is 31st January, 2021. The Income tax department sent notice to me (purchaser) and seller both in 2019. But I don't know how, the seller was not fined and his case is closed with the Income tax department and my case is open. Does this mean that IT dept is agreeing that seller's price was 40 Lac and my purchase price is 1Cr. How is this possible? Please guide me on my chances in this case. Whether I should enroll in Vivad se Vishwas scheme or should I appeal in the Tribunal for this case. The problem is - I can't pay the whole penalty plus tax amount if I lose the case. On the other side, I hope to win the case. I think the only point going against me is seller and I (purchaser) discussed for the same property for 1 Cr and then I bought the same property for 40 Lac. The IT dept is making their base as this point. They are saying I bought the property for 1 Cr. and not 40 Lac.
Asked 5 years ago in Taxation
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5 Answers
You need to appeal in the said case
The assertion made by income tax department that you purchased the property for 1 crore based on the unregistered sale agreement is a fictitious and imaginary concept.
Your registered sale deed is the only evidence for the transacted amount and the burden lies on the IT department to prove their allegations leveled against you.
You may better prefer an appeal before the appellate tribunal.
If you don't get proper justice from tribunal also, then you can approach high court with a writ petition for justice.
Before that you ascertain the facts and also secure the documentary evidences to protect your interests.
DEAR SIR,
It is suggested that you for appeal in the tribunal with the proof of handing discussions that the property was worth 40 lakh and not of Rs. 1 crore. There are enough chances that you will win.
dear sir/maam,
Vivad Se Vishwas' scheme provides for settlement of disputed tax, disputed interest, disputed penalty or disputed fees in relation to an assessment or reassessment order on payment of 100 per cent of the disputed tax and 25 per cent of the disputed penalty or interest or fee.
According to the Vivad se Vishwas bill, this scheme will be applicable to taxpayers who have filed appeals for resolving disputed tax, interest or penalty matters with the Income-tax Appellate Tribunal, the Commissioner (Appeals), High Court or Supreme Court as on the 31st day of January 2020.
The Government recently announced the Direct Tax Vivad se Vishwas Scheme (DTVSV) 2020 to reduce litigation related to direct tax matters and provide an opportunity to willing taxpayers to settle their outstanding tax disputes under very favourable terms without payment of any interest or penalty (in cases of disputed tax demand).
so you must apply for it and get the case resolved.
