West Bengal Budget proposes Amnesty Scheme to settle Pre-GST Dues

West Bengal Budget - Amnesty Scheme - Pre GST - Budget 2020 - Taxscan

The West Bengal State Budget 2020 has proposed an Amnesty Scheme to collect disputed taxes prior to the GST — under VAT, central sales tax and entry tax.

West Bengal finance minister Amit Mitra in the state budget presented said that more than 25,000 disputed cases were still pending. “I propose to introduce a new and more attractive settlement scheme for all VAT, sales tax, central sales tax and entry tax cases which are lying pending up to January 31, 2020,” Mitra said.

The scheme will offer taxpayers the opportunity to settle their cases by depositing 25 percent of the disputed tax by March 31, 2020.

The alternative is to pay 25 percent on half of the disputed tax before Match 31, 2020; on the rest, the taxpayers will have to pay 30 percent in a maximum of six monthly installments from April 2020.

The state government had collected Rs 1,120 crore arrears in disputed tax from 30,000 taxpayers from a settlement scheme in 2018.

Mitra also announced a settlement scheme of tax certificate cases, waiver of penalty on outstanding motor vehicle dues, waiver of 50 percent of compounding fine on motor vehicle offenses, waiver of agricultural income tax on tea gardens and relief under Stamp Duty & Registration Act.

In the Central Government Budget 2020 has announced Direct Tax Vivad se Vishwas Scheme to settle all Income Tax Cases in High Courts and Tribunals across the Country.