J&K Administrative Council to launch Amnesty scheme to resolve Tax Arrears from Pre-GST Era

Amnesty scheme

Amnesty scheme: Under the direction of Lieutenant Governor Manoj Sinha, the Administrative Council (AC) of Jammu and Kashmir met and approved a proposal from the Finance Department to grant amnesty for the settlement of tax arrears related to the pre-GST regime. Attending the meeting were Mandeep Kumar Bhandari, the Lieutenant Governor’s principal secretary, Atal Dulloo, his chief secretary, and advisor Rajeev Rai Bhatnagar.

In addition to returning the government’s blocked revenue, this action will relieve tax payers by waiving interest and penalties.

Read also: GST notices – AI generated to thousands of taxpayers sent

Due to a number of factors, including the Covid-19 pandemic, dealers were previously unable to benefit from the previous amnesty program established by Government order no. 39-FD of 2018, dated 05/02/2018.

Consequently, a great deal of requests for a one-time opportunity for dealers to settle outstanding arrears under the pre-GST tax laws were received from the trade and industry sector.

Dealers are given relief under the Amnesty Scheme on:

  1. The J&K General Sales Tax Act, 1962 and the Central Sales Tax Act, 1956, waive 100% of the penalty and interest for assessments and reassessments made up to 2017–18 (07/07/2017 for all and 31/08/2017 for liquor dealers);
  2. 100% of the penalties and interest under the Central Sales Tax Act of 1956 and the J&K Value Added Tax Act of 2005 are waived for assessments made up to 2017–18 (07/07/2017);
  3. Interest and penalties in (i) and (ii) will be waived, provided that the principal tax is paid in full and within the allotted time frame in accordance with the plan that the government will announce;
  4. Settlement of demands for Industrial Units under the Central Sales Tax Act, 1956, the J&K General Sales Tax Act, 1962 (up to 07/07/2017 and 31/08/2017 for liquor-dealing units), and the repealed J&K Value Added Tax Act, 2005 (up to 2017–18) (up to 07/07/2017), with regard to assessed/re-assessed demands, including cases that have not yet been assessed but must meet specific requirements to be notified in the scheme.
Read also: GST: Taxpayers may be allowed to file revised GST returns from April 2025

The government’s decision will minimize tax dispute cases and conclude pre-GST cases, among other things. Applications for this amnesty must be submitted no later than six months after the date an order in this regard is issued.

Disclaimer: The article or blog or post (by whatever name) in this website is based on the writer’s personal views and interpretation of Act. The writer does not accept any liabilities for any loss or damage of any kind arising out of information and for any actions taken in reliance thereon.
Also, www.babatax.com and its members do not accept any liability, obligation or responsibility for author’s article and understanding of user.

For Collaborating with us-

Tags: blog

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Fill out this field
Fill out this field
Please enter a valid email address.
You need to agree with the terms to proceed