Chandigarh, Jan. 2 -- In a relief to the trading community and industry of the state, the Punjab government has decided to extend the deadline for the 'Punjab One-Time Settlement (OTS) Scheme for Recovery of Outstanding Dues, 2025' till March 31, 2026. Finance and excise and taxation minister Harpal Singh Cheema gave the formal approval for this extension following representations from various stakeholders, including the GST Practitioners Association (GSTPA), Punjab. The decision comes in response to the heavy statutory compliance burden faced by taxpayers during November and December 2025, which saw overlapping deadlines for various tax filings. Additionally, practical challenges such as the pending service of VAT assessment orders had made it difficult for many eligible taxpayers to determine their exact liabilities before the original December 31, 2025, deadline. To date, 6,348 OTS applications have been received, out of which 4,365 applications have been approved, involving tax, interest, and penalty amounting to Rs.311.07 crore. Out of this amount, Rs.65.81 crore has been recovered as per the OTS scheme, while Rs.245.26 crore has been waived. "The OTS Scheme-2025, initiated on October 1, remains one of the most taxpayer-friendly initiatives, aimed at reducing legacy litigation and unlocking blocked revenue for the state. Depending on the demand amount, taxpayers can avail up to a 100% waiver on interest and penalty and significant waivers on the principal tax amount," the FM said. Cheema further stated that this extension would provide a chance for genuine taxpayers to settle long-pending disputes under the pre-GST Acts (including VAT and Central Sales Tax) without procedural stress. He said that by extending this deadline to March 31, 2026, the government is ensuring that no genuine taxpayer is left behind due to administrative or timing hurdles. He urged all eligible businesses and rice millers to utilise this final window to clear their arrears and start the new financial year with a clean slate. "After the new deadline of March 31, 2026, the department will initiate strict recovery proceedings against defaulters who fail to opt for this settlement," the finance minister added....