Section 107 of Delhi Value Added Tax Act 2004 - Amnesty Scheme
Section 107 of the Delhi Value Added Tax Act, 2004 provides the statutory framework for government-notified amnesty schemes relating to specified tax, interest, penalty and other DVAT dues.
What is Section 107 of the DVAT Act 2004?
Section 107 of the Delhi Value Added Tax Act, 2004 authorises the Government to notify amnesty scheme or schemes for specified tax liabilities and related dues. The provision allows the Government, by notification in the Official Gazette, to prescribe the classes of dealers covered and the conditions and restrictions on which relief may be available.
Section 107: Amnesty Scheme - statutory provision
The provision in the source text provides that, notwithstanding anything to the contrary contained in the Act and the Rules, the Government may by notification in the Official Gazette notify amnesty schemes covering payment of tax, interest, penalty or any other dues under the Act.
Statutory text: Notwithstanding anything to the contrary contained in this Act and Rules thereto, the Government may by notification in the official Gazette, notify amnesty scheme(s) covering payment of tax, interest, penalty or any other dues under the Act, subject to such conditions and restrictions as may be specified therein.
The provision also specifies the matters that may be covered by an amnesty scheme, including limitation, rates of tax, tax, interest, penalty and other dues payable by a class of dealers, classes of dealers or all dealers.
Meaning and legal effect of an amnesty scheme
An amnesty scheme under Section 107 is a special statutory relief mechanism. Its precise benefits cannot be determined from Section 107 alone because the Government notification creating the particular scheme supplies the operative conditions, eligibility requirements, payment terms and relief available.
- Notification is essential: the Government must notify the scheme in the Official Gazette.
- Conditions apply: eligibility and relief depend on the notified scheme and its conditions and restrictions.
- Specified dues may be covered: the provision refers to tax, interest, penalty and other dues under the DVAT Act.
- Dealer classes may be specified: a scheme may apply to a class of dealers, classes of dealers or all dealers, as stated in the notification.
- Limitation and rates may be addressed: the statutory framework permits the notified scheme to cover limitation and rates of tax as specified.
2013 Delhi VAT Amnesty Scheme
The Delhi Department of Trade and Taxes records that an amnesty scheme was notified on 20 September 2013 under Section 107. Department material describes the scheme as covering tax dues for periods up to 31 March 2013 and refers to relief from interest and penalty and other specified consequences, subject to the notified scheme.
Read the official Delhi Department of Trade and Taxes material on the DVAT Amnesty Scheme.
Important amendment to Section 107
Section 107 was subsequently amended. The Delhi Value Added Tax (Amendment) Act, 2016 substituted the earlier reference to dues for a period ending before 1 April 2013 with wording referring to amounts already assessed under Section 32 or Section 33 of the DVAT Act, as applicable, before a period of at least one year from the introduction of the relevant amnesty scheme.
Read the official Delhi Gazette notification containing the amendment to Section 107.
Section 107 and the current tax regime in Delhi
The Delhi Value Added Tax Act, 2004 belongs to the pre-GST indirect tax regime. The introduction of GST changed the tax framework for most supplies from 1 July 2017. Section 107 of the DVAT Act should therefore be read in its historical and transitional context, together with the applicable notifications, amendments, assessment proceedings and saving provisions relevant to the period concerned.
The Delhi Department of Trade and Taxes continues to publish DVAT-related notifications and departmental material. For a dispute, assessment, recovery matter or proposed settlement, the exact period, assessment status and applicable notification should be checked before relying on an amnesty provision.
Official Delhi Department of Trade and Taxes - DVAT notifications
Official Delhi Value Added Tax Act reference PDF
Key points for dealers and taxpayers
| Issue | Section 107 position |
|---|---|
| Nature of provision | Enabling provision for Government-notified DVAT amnesty schemes. |
| How a scheme is created | By notification in the Official Gazette. |
| Dues that may be covered | Tax, interest, penalty or other dues under the Act, as specified by the scheme. |
| Who may be covered | A class of dealers, classes of dealers or all dealers, according to the notification. |
| Conditions | Conditions and restrictions specified in the particular amnesty notification apply. |
| Amendment history | Section 107 was amended in 2016, including its eligibility wording concerning assessed amounts. |
Frequently asked questions about Section 107 DVAT Act
What is Section 107 of the DVAT Act?
Section 107 is the provision that enables the Government to notify amnesty schemes covering specified tax, interest, penalty and other dues under the Delhi Value Added Tax Act, subject to the notified conditions and restrictions.
Does Section 107 itself grant automatic waiver of tax or penalty?
No. The section authorises the Government to notify an amnesty scheme. The actual relief, eligibility, payment requirements and other conditions depend on the applicable notification.
Was Section 107 amended?
Yes. The Delhi Value Added Tax (Amendment) Act, 2016 amended Section 107 and changed the wording concerning the periods or assessed amounts that may be covered by an amnesty scheme.
Can an old DVAT demand be settled under Section 107 today?
That depends on the particular amnesty notification and the facts of the case. The relevant assessment period, assessment order, payment history, limitation issues and any applicable scheme or departmental notification should be verified before taking action.
Legal note: This page reproduces and explains the statutory subject matter for general information. Taxpayers should consult the applicable Act, amendment, Gazette notification, departmental circular or order and the facts of the individual matter before relying on a statutory relief.