Q.1 What is the procedure to apply for the scheme?
Ans.1 Every person, who wants to opt for the scheme has to furnish a declaration in Form – 1 to the designated authority. Along with declaration, the declarant is also required to furnish an undertaking in Form – 2 for waiving his right to seek or pursue any remedy or any claim which may be available to him.
Q.2 How do a declarant assure that the declaration has been filed and pass to the designated authority?
Ans.2 After filing the declaration, the designated authority shall issue a receipt cum acknowledgment electronically. After successful processing of declaration, the designated authority shall within 15 days issue a certificate in Form – 3 to the declarant specifying the details of the tax amount required to be paid.
Q.3 What is the time limit to pay the tax?
Ans.3 Tax shall be paid within 15 days of receipt of a certificate from designated authority. After payment, the declarant shall intimate the details of tax payment to designated authority along with proof of withdrawal of appeal in Form – 4.
Q.4 Do declarant need to file the declaration online or can they file it offline? Who can sign the declaration?
Ans. 4 Form 1, 2 & 4 shall be filed online by using DSC or EVC as the case may be. Also, the declaration is required to be signed by such person who is signed to file an Income Tax return as per Section 140 of the Income Tax Act.
Q.5 Do declarant have the right to file an appeal or seek review application against the calculation of tax payable made by designated authority?
Ans. 5 There are no rules governing this position, once the declaration is filed, only designated authority will calculate the tax and declarant has to pay that tax. However, the principle of natural justice can be used as a means to resolve any such matter.
After intimation of payment, the designated authority shall issue a final order in Form – 5 acknowledging payment of tax and all the proceedings pertaining to that issue shall stand canceled.
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