Revenue Proceedings not Possible After Issuance of Discharge Certificate Under SVLDRS Scheme:...

The Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has reaffirmed that once a discharge certificate is issued under the Sabka Vishwas (Legacy Dispute Resolution) Scheme (SVLDRS), 2019, no further revenue proceedings can be initiated for the settled matter. The SVLDRS was a one-time scheme to resolve old central excise and service tax disputes. The tribunal held that the issuance of the discharge certificate brings a complete and final closure to the dispute. The department cannot subsequently attempt to re-open the issue or initiate any other recovery or penal action related to the tax period and the matter that has been settled under the scheme. This ruling is crucial as it upholds the finality and sanctity of the settlement scheme, providing certainty to taxpayers who have opted for it and have paid the settled amount.