Punjab to scrap 40K pending cases of VAT against traders, industrialists

Punjab will scrap 40,000 pending cases of value added tax (VAT) out of 48,000 cases, related to FY15, FY16 and FY17, against traders and industrialists, said CM Charanjit Singh Channi.

The remaining 8,000 cases will be settled amicably and the state will ask the traders and industrialists concerned to deposit just 30 per cent of the outstanding tax liability. A fifth of the tax liability will have to be deposited in FY22, while the pending amount will have to be paid by next year.

“This industry-friendly initiative will go a long way in boosting their morale to invest in a big way.  The state will act as a facilitator to promote industry to new heights of glory,” Channi said at the 4th Progressive Punjab Investors Summit. 

The state has also allowed faceless assessment of GST and VAT, doing away with the need for traders and industrialists to be physically present with tax officers. Channi also said the foundation stone of the upcoming greenfield airport at Ludhiana will be laid on November 15 and the airport would be completed in eight months.