Chandigarh, July 29, 2026 (Yes Punjab News)
Punjab Taxation Department has intensified its drive to recover pending Value Added Tax (VAT) dues, with a property auction in Patiala district fetching ₹1.21 crore and another dealer depositing ₹18.46 lakh under the One-Time Settlement (OTS) Scheme.
Punjab Finance, Excise and Taxation Minister Harpal Singh Cheema on Wednesday said defaulting dealers across the state should utilise the OTS Scheme before its July 31 deadline to avoid strict recovery action, including property attachment and auction.
Sharing details of the recovery proceedings, Cheema said property belonging to M/s Guruji Feeds, Rajpura, was scheduled for auction against pending tax dues of ₹57.78 lakh. Following the initiation of auction proceedings, the dealer opted for the OTS Scheme and deposited ₹18.46 lakh to settle the matter.
The Finance Minister said the case highlights the benefits available under the settlement scheme, allowing eligible dealers to resolve pending liabilities and avoid forced recovery measures.
In another enforcement action, the department auctioned the property of M/s Samana Roller Flour Mill Limited for ₹1.21 crore, which was significantly higher than the reserve price of ₹74.31 lakh. The successful bid exceeded the reserve price by around ₹46.69 lakh.
Cheema said that as per auction rules, ₹30.25 lakh, representing 25 per cent of the successful bid amount, was recovered immediately from the highest bidder on the day of the auction.
Appreciating the efforts of taxation department officials, Cheema said the two cases send a clear message to VAT defaulters in Punjab. He said while the OTS Scheme provides an opportunity for a fair settlement, failure to utilise the scheme would lead to strict recovery action.
He warned that after the July 31 deadline, no leniency would be shown to defaulters and legal action, including attachment and auction of movable and immovable properties, would be initiated.
The minister said the Taxation Department would continue its statewide recovery drive with transparency and firmness to protect government revenue.
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