9. Amendment of Act 5 of 2019.―In the Kerala Finance Act, 2019 (5 of 2019),—
(1)for section 12, the following shall be substituted, namely:—“12. Reduction of arrears in certain cases.—(1) Notwithstanding anything contained in sub-section (1) of section 174 of the Kerala State Goods and Services Tax Act, 2017. (20 of 2017) and in the Kerala Tax on Luxuries Act, 1976 (32 of 1976) (hereinafter referred to as the former Act) or rules made thereunder or in any judgment, decree or order of any court, tribunal or appellate authority, any assessee who is in arrears of tax or any other amount due under this Act relating to the period up to and including 30th June, 2017, may opt for settling the arrears on payment of,—(i)fifty per cent of the principal amount of the tax in arrears; or(ii)forty per cent of the principal amount of the tax in arrears, if the amount is paid in lump sum within thirty days of receipt of intimation of the assessing authority referred to in sub-section (7):Provided that in case where the evidence, details and records pertaining to the penalty levied is not utilized or not liable to be utilized for any best judgment assessment under the former Act, the demand relating to such penalty shall be settled under this section on payment of applicable tax relating to the penalty as determined by the assessing authority.Explanation.—Arrears for the purpose of this section shall include the tax remaining unpaid as on the date of option, under clause (a) of sub-section (1) of section 17B of the former Act, pursuant to the payment of compounding fee mentioned therein.(2)Notwithstanding anything contained in the Kerala Revenue Recovery Act, 1968., (15 of 1968) reduction of arrears under sub-section (1) shall be applicable to those cases in which revenue recovery proceedings have been initiated and the assessing authorities shall have the power to collect such amounts on settlement under sub-section (1) and where the amount is settled under sub-section (1) the assessing authorities shall withdraw the revenue recovery proceedings against such assessee which will then be binding on the revenue authorities and such assessee shall not be liable for payment of any collection charges.(3)The assessee shall withdraw all the cases pending before any appellate or revisional authority, tribunal or courts for opting for settling the arrears under this section and shall file a declaration to this effect along with the option mentioned under sub-section (5).(4)All arrears including tax, interest and penalties pertaining to an assessee shall be settled together under this section.(5)An assessee who intends to opt for payment of arrears under sub-section (1) shall submit an option to the assessing authority on or before 30th November, 2020:Provided that with respect to demands generated after 30th November, 2020, the option may be filed within thirty days, on receipt of the assessment order and in such cases the final payment of tax and other amounts due as per this section shall be completed on or before 31st March, 2021.(6)The arrears for the purpose of settlement under this section shall be calculated as on the date of submission of option.(7)On receipt of the option under sub-section (5), the assessing authority shall determine the amount of tax and other amounts due from the assessee under sub-section (1) and shall intimate the same to the assessee, and thereupon the assessee shall remit the amount in installments or lump sum, as the case may be, on or before 31st March, 2021:Provided that the first installment thereof, for those who opt for payment as specified in clause (i) of sub-section (1) shall not be less than twenty per cent of the amount determined in this sub-section and such amount shall be paid within thirty days of receipt of the said intimation and the balance amount is to be paid in installments, subject to a maximum of four installments.(8)Notwithstanding anything contained in the former Act if an assessee who opts to settle his arrears under sub-section (1), has remitted or deposited any amount relating to the arrears after the service of demand notice, such amounts shall be given credit as tax before reckoning the arrears to be settled under sub-section (6) and the assessee shall furnish the proof of payments made in this regard:Provided that any amount paid towards penalty or interest shall not be given credit.(9)Notwithstanding anything contained in this Act, or in any judgment, decree or order of any court, tribunal or appellate authority, there shall not be any refund or any adjustment subsequently for the amount settled under this scheme, under any circumstances.(10)The form and manner of submission of option, intimation and payment, shall be as may be specified by the Commissioner.(11)Cases involved in appeals filed by an officer empowered by the Government under the former Act and pending final orders on the date of option can also be opted to be settled under this scheme, reckoning the demand in the original assessment/order.(12)Assessees who opted to settle their arrears under this section during previous years, but had failed to make payments may also opt to settle their cases under this section, and the amounts, if any, paid earlier shall be given credit as tax before reckoning the arrears to be settled under sub-section (6) and the assessee shall furnish the proof of payments made in this regard, however that no refunds shall be allowed.(13)Commissioner may, within a period of four years from the date of full payment of arrears as per the intimation under sub-section (7), suo motu review any of the cases settled under this section in the interest of revenue.”.(2)in section 13, in sub-section (1),―(a)for the figures “173” the figures “174” shall be substituted;(b)for the words “five lakh” the words “ten lakh” shall be substituted;(c)for the words and figures “1st April, 2019”, wherever it occurs, the words and figures, “1st April, 2020” shall be substituted.
