The Central Board of Indirect Taxes and Customs (CBIC) has constituted the much-awaited Customs, Central Excise & Service Tax Settlement Commission to resolve and settle the show-cause notices issued under the Customs Act, Central Excise Act and Service Tax regime.
The move would bring expeditious disposal of cases where demand has been raised under the old indirect tax regime.
The Central Excise Act and Service Tax were replaced with the current Goods and Service Tax (GST) law from 1st July, 2017.
”Customs, Central Excise & Service Tax Settlement Commission-A Filip to Alternative Dispute Resolution Mechanism for expeditious settlement of Show Cause Notices issued under Customs Act/Central Excise Act/Service Tax,” the CBIC tweeted from its official twitter handle.
The Competent Authority constituted Settlement Commission Benches at Delhi, Mumbai, Chennai & Kolkata to provide Alternative Dispute Resolution Mechanism for expeditious settlement of show cause notices issued in cases under Customs Act & Central Excise Act.
“The Settlement Commission is empowered to grant immunity from fine, penalty & prosecution, on merit, to noticee and co-noticees,” the CBIC said.
The Settlement Commission has powers to grant immunity from prosecution for any offence under the Central Excise Act, the Customs Act or under the Indian Penal Code or under any other Central Act for the time being in force in respect of the case covered by the Settlement Commission.
The Commission also has powers to grant immunity either wholly or in part from the imposition of any penalty and fine under the Central Excise Act or the Customs Act, as the case may be in respect of the case covered by the Settlement Commission.
The proceedings before the Settlement Commission shall be deemed to be a judicial proceeding within the meaning of Section 193 and 228, and for the purposes of Section 196 of the Indian Penal Code.