Budget 2020: Centre kicks off immunity scheme to settle income tax disputes

Waiver from interest and penalty if paid by March 31; estimated value of contested money over Rs 5 trillion

The government has introduced an immunity scheme — Vivaad se Vishwas — for five months (till June 30) for citizens to settle disputes on income tax, offering relief from a “vexatious litigation process”, said Finance Minister Nirmala Sitharaman. 

Under the proposed scheme, one is required to pay only the amount of the disputed tax — on doing so, you get complete waiver of interest and penalty, provided the payment is by March 31. For a disputed penalty, where interest and fee are not connected with the disputed tax, one is required to pay only 25 per cent of this total for