Jammu: Jammu and Kashmir Administrative Council (AC) on Wednesday granted amnesty for the settlement of tax arrears pertaining to the pre-GST regime in the Union Territory.
The Finance department’s proposal was approved at an AC meeting under the chairmanship of Lieutenant Governor Manoj Sinha. Rajeev Rai Bhatnagar, Advisor to the LG and Chief Secretary Atul Dulloo were also present.
The decision will provide relief to the taxpayers in the form of waiver of interest and penalty, besides recovery of the blocked revenue to the government, an official press release said.
Earlier, all dealers could not take benefit of the erstwhile amnesty scheme in 2018 due to various reasons, including the COVID-19 pandemic.
As such, a large number of representations were received from the trade/industry sector for granting a one-time opportunity to the dealers for settlement of the outstanding arrears under the pre-GST tax legislation.
The amnesty scheme provides relief to dealers by 100 percent waiver of penalty and interest under Taxation acts for assessment/reassessment up to 2017-18 for all and 2017 for liquor dealers, 100 percent waiver of penalty and interest under VAT 2005, and Central Sales Tax Act for assessments up to 2017-18.
It also gave waiver of interest and penalty to 100 percent payment of principal tax in the manner and within the prescribed time as per the scheme, settlement of demands for Industrial Units under repealed VAT and other tax acts in respect of assessed, re-assessed demands, including yet to be assessed cases with certain conditions to be notified in the scheme.
This decision on the part of the government will result in minimising tax dispute cases and winding up pre-GST cases etc. The time limit for receiving the applications for this amnesty will not be more than six months from the date an order is issued in this regard, the press release said.
