West Bengal Government Extends Settlement Scheme for Sales Tax Disputes

The Government of West Bengal has recently announced the extension of the last date for filing applications for the Sales Tax Settlement Scheme due date. As per the notification (No. 1672-F.T., dated 24th September 2025), issued by the Finance Department of the Government of West Bengal, the last date to file applications for settlement of disputes under section 5 of the West Bengal Sales Tax (Settlement of Dispute) Act, 1999 (West Ben. Act IV of 1999), has been extended to December 31, 2025.

This decision has been taken under the powers granted to the Government by Sub-section (1) of Section 5 of the said Act.

The settlement scheme under the West Bengal Sales Tax (Settlement of Dispute) Act, 1999, was introduced to settle tax-related disputes faster. Under this scheme, all the disputed tax, like arrear tax, interest, penalty, or late fee, gets settled.

The earlier due date to file the applications or settlement scheme was September 30, 2025. With the latest extension of December 31, 2025, taxpayers will now have extra time to submit the application without penalty. The scheme can now benefit more taxpayers who have pending sales tax disputes.