Latest News | Punjab Cabinet Decides to Exempt 1.50 Lakh Tax Assessment Cases

Chandigarh, Dec 1 (PTI) In a relief for traders, the Punjab Cabinet on Wednesday decided to exempt about 1.50 lakh cases from tax assessment for the period 2014-15 till 2017-18, a move that will cost Rs 200 crore to the state exchequer.

With this decision, about 8,500 cases would now be assessed every year, according to an official statement.

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The value-added tax (VAT) assessment was related to cases of category 'C' forms, which are used for inter-state business transactions.

The decision was taken during the Cabinet meeting chaired by Chief Minister Charanjit Singh Channi here, said the statement.

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Although it has been nearly four-and-a-half years since the end of the value-added tax (VAT) regime, there was still a heavy burden of VAT assessment on traders coupled with difficulties in providing C-forms to them.

The Cabinet also gave approval to exempt traders from making payment of 70 per cent of the excess demand raised by the taxation department.

Now, they will be only required to deposit 30 per cent of the surplus demand, another move that also cost the state exchequer to the tune of Rs 940 crore.

The traders can pay 20 per cent by March 31, 2022, and the remaining 80 per cent by March 31, 2023, said the statement.

In another decision, the Cabinet approved the One-Time Settlement (OTS) Policy, 2021, for the settlement of dues of Punjab State Industrial Development Corporation Ltd, Punjab Financial Corporation (PFC) and Punjab Agro Industries Corporation (PAIC).

It will help resolve long-pending litigation and settlement between the corporations and the private investors, it said. HRS hrs hrs

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)