Punjab Finance Minister Advocate Harpal Singh Cheema on Sunday highlighted the strong response to the One-Time Settlement scheme for VAT arrears. He said 7,845 applications have been received so far, covering dues of nearly ₹298.39 crore, out of which ₹111.16 crore has already been recovered. Describing the initiative as a major step towards clearing long-pending tax liabilities while strengthening revenue, he cautioned that the scheme will end on March 31. After that, the government will move towards strict recovery, with close to 8,000 properties already identified for action.
Cheema noted that the scheme has already led to a recovery of ₹111.16 crore and appreciated the participation from districts such as Ludhiana, Amritsar, Jalandhar, Patiala, and Ropar. He said the response from these regions reflects increasing awareness among taxpayers about the financial benefits offered under the scheme.
Urging eligible taxpayers to come forward, he said the scheme is nearing its final deadline on March 31, 2026, and offers a last opportunity to settle pending VAT dues. He stressed that business owners should take advantage of this window to clear their liabilities and align with the state’s taxation system, as the relief and waivers provided under the scheme are available only for a limited time.
He further explained that the current approach of providing relief and concessions will give way to strict enforcement once the deadline passes. Any unresolved cases will then be dealt with under regular legal provisions without any special relaxation.
The Finance Minister added that after March 31, 2026, recovery proceedings will be carried out as per the law in cases where dues remain unpaid. As part of preparations, around 8,000 properties have already been identified for action wherever necessary.
Highlighting the intent behind the scheme, Cheema said the strong response reflects the trust of taxpayers in the transparent and business-friendly policies of the Chief Minister Bhagwant Singh Mann-led Punjab Government. He added that the initiative is designed to provide relief, reduce litigation, and strengthen the state’s revenue system. The scheme also offers businesses a chance to clear old VAT liabilities with significant relief in interest and penalties, allowing them to move forward with a clean financial slate.
