Mail News Service
Ranchi: The Jharkhand government is facing a significant challenge in its revenue collection efforts, with a staggering Rs 2385.39 crore tied up in ongoing legal disputes. A total of over 2,000 cases related to VAT, GST and other tax matters are pending across various courts and forums.
The bulk of these disputes are being heard in three key judicial bodies. Of the total amount, Rs 772.76 crore is locked in 1,555 cases pending in the appellate court of the Additional Commissioner. Meanwhile, 521 cases are awaiting resolution in the Jharkhand High Court, involving claims amounting to Rs 1,335.47 crore. Additionally, 38 cases are pending in the Supreme Court, with Rs 276.89 crore at stake.
In a recent review meeting of the Commercial Tax Department, Finance Minister Radhakrishna Kishore and senior officials discussed the issue. Departmental officials were urged to take prompt action to settle these long-pending cases. “The government is losing out on substantial revenue due to these protracted legal battles,” Kishore remarked during the meeting.
This situation is not new; in the past, a one-time settlement (OTS) formula was implemented to resolve such cases. Under this provision, taxpayers and the department could reach an agreement to settle disputes, which successfully recovered Rs 500 crore. Former Finance Minister Dr. Rameshwar Oraon emphasized the need for continued efforts to resolve tax disputes and urged positive negotiations between the department and taxpayers to avoid prolonged legal entanglements.
With the total amount of Rs 2,385 crore still stuck in litigation, the state government is looking for solutions to recover the funds and ease the burden on its finances
