Chapter I Chapter I

In this Act, unless the context otherwise requires- (a) "Accepted Tax" means the amount of tax admitted by the party in the returns filed under the Law; (b) "Appeal" means an appeal pending before the Commercial Taxes Joint Commissioner (Appeals) or Commercial Taxes Deputy Commissioner (Appeals) appointed under Section 9 of the Bihar Finance Act, 1981 or under Section 10 of the Bihar Value Added Tax Act, 2005, having territorial jurisdiction; (c) "Assessed Tax" means the determined tax payable under a tax assessment or re-assessment order under the Law; (d) "Dispute" means a dispute arising out of any order passed under the Law and, as the case may be, an appeal, revision, review, reference, writ petition or special leave petition (SLP) pending before the following:- (i) Commercial Taxes Joint Commissioner (Appeals) or Commercial Taxes Deputy Commissioner (Appeals); (ii) Commercial Taxes Joint Commissioner (Administration); (iii) Commissioner of Commercial Taxes; (iv) Commercial Taxes Tribunal; (v) High Court; (vi) Supreme Court of India; and includes (1) Tax, interest or penalty imposed by the authority appointed or designated or authorized under the Law, or (2) Proceeding initiated by or pending before the authority appointed or designated or authorized under the Law or the Bihar and Orissa Public Demands Recovery Act, 1914 for recovery of tax, interest or penalty; (e) "Disputed Amount" in relation to any dispute means any amount of tax, interest or penalty which has not been accepted by the party as payable tax; (f) "Form" means the Form annexed to this Act; (g) "Law" means Part-I of the Bihar Finance Act, 1981 [as it stood before its repeal by Section 94 of the Bihar Value Added Tax Act, 2005], Bihar Value Added Tax Act, 2005, Central Sales Tax Act, 1956, Bihar Hotel Luxury Goods Taxation Act, 1988, Bihar Entertainment Tax Act, 1948, Bihar Electricity Duty Act, 1948 and Bihar Tax on Advertisement Act, 2007; (h) "Party" means any person who files an application for settlement of any dispute under this Act; (i) "Act" means the Bihar Settlement of Taxation Disputes Act, 2016; (j) For the purposes of this Act, "Prescribed Authority" means- (i) In relation to an appeal, the Commercial Taxes Joint Commissioner (Appeals) or Commercial Taxes Deputy Commissioner (Appeals) before whom the appeal is pending; (ii) In cases pending before the Commissioner of Commercial Taxes or Tribunal or High Court or Supreme Court where the disputed amount is more than Rs. 1,00,00,000, the Commissioner of Commercial Taxes; (iii) In cases pending before the Commissioner of Commercial Taxes or Tribunal or High Court or Supreme Court where the disputed amount is Rs. 1,00,00,000 or less, the concerned Commercial Taxes Joint Commissioner (Administration) in whose jurisdiction the party is registered or the order relating to the disputed amount was passed; (iv) In any other disputed case pending before the Commercial Taxes Joint Commissioner (Administration), the concerned Commercial Taxes Joint Commissioner (Administration); (k) "Revision" means an application for revision under the Law, which is pending before the Commissioner of Commercial Taxes or the Tribunal appointed under Section 9 of the Bihar Finance Act, 1981, Part I, or under Section 10 of the Bihar Value Added Tax Act, 2005; (l) "Settlement Amount" means the amount on payment of which the dispute shall be settled; (m) "Tribunal" means the Tribunal constituted under Section 8 of the Bihar Finance Act, 1981, Part I, or Section 9 of the Bihar Value Added Tax Act, 2005; (n) "Gross Turnover" means the gross turnover recorded by the party in the return filed under the Law; (o) Other expressions not defined in this Act shall have the meanings assigned to them respectively under the Law. (1) where the dispute relates to proceeding till financial year 2004-05, the settlement amount shall be at the rate specified in column (3) of the amount of dispute as mentioned in column (2) of the Table- I, and where the dispute relates to proceeding from financial year 2005-06 to financial year 2011-12, the settlement amount shall be as per Table-II below :- Table- I Sl. No. Particulars of the dispute Settlement Amount 1 2 3 1. Dispute arising out of non-submission of Form-IXC or Form IX in support of any claim preferred under Part I of the Bihar Finance Act, 1981. 10 (Ten) percent of disputed amount of tax. 2. Where the amount of arrear tax in dispute does not exceed Rs. 10,00,000 (Ten Lakh) other than mentioned in Sl .No 1. Twenty five percent of arrear tax in dispute 3. Where the amount of arrear tax in dispute exceeds Rs. 10,00,000 (Ten Lakh) but does not exceed Rs. 1,00,00,000(one crore) other than mentioned in Sl. No. 1. Rs. 2,50,000 (Two Lakh fifty thousand) plus thirty two percent of the amount by which the amount of arrear tax in dispute exceeds Rs. 10,00,000 (Ten Lakh). 4. Where the amount of arrear tax in dispute exceeds Rs. 1,00,00,000 (one crore) other than mentioned in Sl. No. 1. Rs. 31,30,000 (Thirty one Lakh thirty thousand) plus forty percent of the amount by which the amount of arrear tax in dispute exceeds Rs. 1,00,00,000 (one crore). 5. For dispute arising out of an order levying penalty or interest under the law Ten percent of disputed amount of penalty or interest, as the case may be Table- II Sl.No. Particulars of the dispute Settlement Amount 1 2 3 1. For the amount of arrear tax in dispute does not exceed Rs. 10,00,000 (Ten Lakh) . Thirty percent of arrear tax in dispute 2. For the amount of arrear tax in dispute exceeds Rs. 10,00,000 (Ten Lakh) but does not exceed Rs. 1,00,00,000 (one crore). Rs. 3,00,000 (Three Lakh) plus thirty seven percent of the amount by which the amount of arrear tax in dispute exceeds Rs. 10,00,000 (Ten Lakh) . 3. For the amount of arrear tax in dispute exceeds Rs. 1,00,00,000 (one crore). Rs. 36,30,000 (Thirty six Lakh thirty thousand) plus forty five percent of the amount by which the amount of arrear tax in dispute exceeds Rs. 1,00,00,000 (one crore). 4. For dispute arising out of an order levying penalty or interest under the law Ten percent of disputed amount of penalty or interest, as the case may be Explanation I. - Settlement amount shall not include payament of admitted tax and the party shall deposite total amount of admitted tax. Explanation II. - If a party wishing to settle a dispute, has already deposited any amount of dispute which is equal or more than the settlement amount, before the commencement of this settlement scheme, the said amount would be considered as payment of settlement amount. Although the amount deposited in excess of the settlement amount will not be refunded. Explanation III. - If a party wishing to settle a dispute, has deposited any amount of dispute before the commencement of this settlement scheme, the said amount would be considered as payment of settlement amount and the party will have to pay the difference amount only. (2) Notwithstanding anything contained in any law for the time being in force but subject to the other provisions of this Act, any dispute in respect of which the amount specified in sub-section (1) has been deposited into Government Treasury, in the manner and within the time specified in this Act, shall be deemed to have been settled and it shall not be proceeded before any appellate authority.