Noteworthy Points on Amnesty Scheme Rules notified pursuant to Section 128A
➢ A New Amnesty scheme has been notified u/s 128A from 1st November 2024 for certain
tax periods in respect of non-evasion cases u/s 73. The waiver would cover the entire
interest and penalty under the case.
➢ The conditions for opting this scheme would be as follows:
o The Demand should pertain to the period from 1st July 2017 to 31st March 2020
o The demand falls under any of the following categories
a. Notice has been issued u/s 73 but adjudication order not yet issued
b. Adjudication order issued u/s 73 but first appeal not yet issued
c. First appeal order issued but the order from Tribunal has not been issued
o In case of Revision or Appeal by the Department before First Appellate Authority
/ Appellate Tribunal, the amnesty would be subject to the condition that the
person pays the additional tax payable within 3 months of the order of Appellate
Authority / Tribunal / Court / Revisional Authority
o The entire tax amount as per the relevant demand / notice has been discharged
within 31st March 2025
o It would cover cases where notice was issued u/s 74 but was reclassified u/s 73 by
Appellate Authority / Tribunal / Court. Here, the due date of payment would be 6
months from the date of issuance of order redetermining tax u/s 73
o No refund would be granted for the interest and penalty already paid in the case
o This would be only for demand cases and not for erroneous refund
o The Appeal or Writ Petition before the Appellate Authority / Tribunal / Court
would be withdrawn within the specified due date
o Once the proceedings stand concluded upon payment, no appeal can be made
against the relevant adjudication / appeal order
➢ A notice or order can cover both demands from 2017-21 (allowable under 128A) and
subsequent periods (not allowable under 128A). Further, the notice / order can cover bothdemand orders (allowable under 128A) and erroneous refund orders (not allowable under
128A). To avail amnesty scheme, one needs to pay full tax for the portion ‘allowable under
128A’ and tax, interest & penalty for the portion ‘not allowable under 128A’
➢ The procedure for availing the benefit of such amnesty scheme has been provided below
as per Rule 164 of the CGST Rules 2017:
Noteworthy Points on Amnesty Scheme Rules notified pursuant to Section 128A
