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Section 245MA: Dispute Resolution Committee (DRC).
One more step towards Faceless Compliance.
FCA BPMUNDRA bpmundra2@gmail.com 9314501680
1.Object of the scheme
The scheme shall impart greater efficiency, transparency and accountability by eliminating interface to the extent technologically feasible, by optimising utilisation of resources and introducing dynamic jurisdiction.
2. Budget 2021 new section 245MA. Proposed to introduce a new scheme for preventing new disputes and settling the issue at the initial stage. This amendment will take effect from 1st April, 2021
3. The Central Government shall constitute one or more Dispute Resolution Committee (DRC).
4. DRC shall resolve disputes of such persons or class of person which shall be specified by the Board.
5. Not eligible for being considered by the DRC
a. If the order is under section 132 or 132A or
b. If the order is based a survey initiated
under 133A or
c. If the order is based on a information received under an agreement referred to in section 90 or section 90A,of the Act
d. When there is detention, prosecution or conviction under various laws as specified in the proposed section.
e. Where the returned income is above fifty lakh rupees (if there is a return) and the aggregate amount of variation proposed in specified order is above ten lakh rupees.
6. Board will prescribe some other conditions in due course which would also need to be satisfied for being eligible under this provision.
7. Eligible assessee would have an option to opt for or not opt for the dispute resolution through the DRC.
8. DRC, subject to such conditions as may be prescribed, shall have following powers while passing order:-
a. to reduce or waive any penalty imposable under this Act or
b. Grant immunity from prosecution for any offence under this Act.
9. The Central Government may, for the purposes of giving effect to the scheme, by notification in the Official Gazette, direct that any of the provisions of this Act shall not apply or shall apply with such exceptions, modifications and adaptations as may be specified in the notification. However, no such direction shall be issued after the 31st day of March, 2023. Every such notification shall, as soon as may be after the notification is issued, be laid before each House of Parliament.