M/S Hi-Tec Point Technologies (P) LTD vs. Union Of INDIA And Ors

Held

The Court held that the prayers made in the writ petition could not be granted. The primary reasoning was that the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 (SVLDRS, 2019), was a time-bound amnesty scheme and could not be made operational by the Court beyond the period for which it was formulated. The Petitioner approached the Court belatedly, more than 1 year and 3 months after the last date for payment of the determined amount. The Court relied on the overwhelming view taken by various High Courts, which held that the time for availing the benefit of the scheme cannot be extended as a matter of course, especially beyond its promulgation period. The Court cited judgments from the Allahabad High Court and Madras High Court to support the view that the scheme cannot be made operational for an individual or to relax its conditions beyond its stipulated timeframe. Therefore, the petition was dismissed.

Facts

M/s Hi Tec Point Technologies (P) Ltd. (Petitioner) opted for the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 (SVLDRS, 2019). The Petitioner declared an amount of Rs. 1,13,65,141/-. The Designated Committee issued Form SVLDRS-3, requiring the Petitioner to pay Rs. 68,19,084.60/- within 30 days of issuance, which was 13.03.2020. The Petitioner failed to pay within the initial 30-day period and also missed the extended due date of 30.06.2020. Despite multiple representations for extension and installment payments, the Petitioner was informed that the SVLDRS, 2019, being a time-bound amnesty scheme, did not permit extensions beyond 30.06.2020. The Petitioner filed the instant writ petition over a year after the last payment date, seeking directions to accept the tax payment and allow deposit of the determined amount.

Key Issues

1. Whether the Court can direct the Respondents to accept the payment of taxes declared by the Petitioner under the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019, beyond the stipulated period for payment? 2. Whether the Court can direct the Respondents to permit the Petitioner to deposit the determined amount under the Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019, along with interest, after the scheme's operational period has expired? Petitioner's Arguments: The Petitioner sought directions to accept their tax payment under the SVLDRS, 2019, and permit deposit of the determined amount, implicitly arguing for an extension of time or a relaxation of the payment deadline due to circumstances not explicitly detailed but implied by their representations. The Petitioner also sought consideration of their multiple representations. Respondents' Arguments: The Respondents contended that the SVLDRS, 2019, was a time-bound scheme with no provision for extension of time beyond 30.06.2020. They argued that the Petitioner failed to comply with the scheme's conditions within the prescribed period and that the Court cannot make the scheme operational beyond its formulated period.