Govt Constitutes Interim Settlement Boards Under Central Excise Act [Read Notification]

The Ministry of Finance has issued Notification No. 02/2025-Central Excise (N.T.) dated April 8, 2025, announcing the constitution of four Interim Boards for Settlement under Section 31A(1) of the Central Excise Act, 1944.

According to the notification, the government has set up these boards with a view to facilitate speedy dispute resolution for pending cases under the central excise law. These interim boards are aimed at reducing litigation and providing an alternate mechanism for taxpayers to settle their excise-related matters amicably.

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The newly constituted boards will be headquartered across four major metros:

Sl. No.	Board	Headquarters
1	Interim Board for Settlement-I	Delhi
2	Interim Board for Settlement-II	Kolkata
3	Interim Board for Settlement-III	Mumbai
4	Interim Board for Settlement-IV	Chennai

These boards are empowered to handle settlement applications from assessee involved in central excise disputes, helping resolve issues that may otherwise take years to settle in regular appellate forums. The move is in line with the Centre's broader push to streamline tax dispute resolution, reduce case backlogs, and encourage voluntary compliance.

Under Section 31A of the Central Excise Act, 1944, the Interim boards were created and were introduced as part of reforms to make the tax regime more efficient and taxpayer-friendly. The boards are expected to operate temporarily until a permanent dispute resolution framework is finalized or regular settlement commissions are reconstituted.

To Read the full text of the Notification CLICK HERE

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