Goa introduces bill offering tax settlement to businessmen

CM Laxmikant Parsekar tabled the Goa Recovery of Arrears of Tax through Settlement Bill 2016 on the floor of House during the ongoing assembly session

The Goa government has introduced a bill offering one-time settlement opportunity to businessmen who have filed review petitions against recovery of arrears of various taxes.

Chief Minister Laxmikant Parsekar tabled the Goa Recovery of Arrears of Tax through Settlement (Amendment) Bill 2016 yesterday on the floor of House during the ongoing assembly session.

"The economy is reeling under the slowdown and the business establishments in Goa are facing the adverse impact," according to the the 'Statement of Objects and Reasons' of the Bill.

"Also, the state is expecting a new legislation on Goods and Service Tax. Under such a scenario, it is desired to have least number of disputed cases of arrears," the draft bill reads.

"It was also proposed during the presentation of Budget for 2016-17 that a one-time settlement scheme will be introduced to reduce the pendency of litigation's and arrears," it said.

Parsekar has proposed that under the settlement scheme, a dealer whose assessment has been completed for any financial year up to 2014-15 and who has raised a dispute against such assessment on or before March 31, 2016, will have to pay 50 per cent of the disputed amount and withdraw the appeal/ petitions before appellate/review/revisional authorities/court.

This will in turn fetch a sizeable revenue to the government on such settlement.