Meghalaya Cabinet during a meeting held at Secretariat on Thursday Credit: Twitter

Shillong: In a bid to help clear the dues of tax defaulters — an outstanding amount of Rs 152 crorebdue to the state government — the Meghalaya Cabinet on Thursday approved the Meghalaya Tax Amnesty Scheme.

The scheme will help the tax defaulters who have not been making their payments for several years to come forward and start afresh.

A total of 805 tax payers who have failed to clear their dues will now be given an opportunity to pay the dues in a span of 6 months and with a waiver of 30%.

“If the tax payers fail to pay the outstanding dues within this six months’ window period, then we will take action against the people who are evading taxes and proceed as per the law,” said Meghalaya chief minister Conrad K Sangma.

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Commissioner of taxes Arun Kembhavi informed that this is for the first tome in the country that such a scheme has been put in place, to work along with the defaulters. The scheme has been brought in for all the indirect taxes under different state taxation act.

Kembhavi added, “The main purpose of coming up with this scheme is because there are so many tax payers who owe taxes to the taxation department. If we go on the recovery process then such exercise is prone to litigation. It is for these reasons we have not gone after the tax payers and that is why we have brought this amnesty scheme to help both the department as well as the tax payers to clean the slate and make a fresh start for 2021.”

Sangma further added that this scheme is a one time opportunity for the tax defaulters and that it was a win-win situation for both the state government and the tax payers.

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