Big Push for Punjab’s Industry and Commerce
Chandigarh – The Punjab Cabinet, led by Chief Minister Bhagwant Singh Mann, has approved several crucial initiatives to strengthen the state’s economy, industry, and commerce. These decisions, taken during a cabinet meeting in Chandigarh, aim to reduce litigation, support businesses, and create employment opportunities.
One of the most significant announcements was the introduction of the Punjab One Time Settlement (OTS) Scheme for Recovery of Outstanding Dues, 2025. The scheme will run from October 1 to December 12, 2025, and is designed to ease compliance burdens for taxpayers while helping the government recover pending dues.
OTS Scheme to Ease Taxpayer Burden
According to officials, the new OTS scheme covers assessments framed till September 30, 2025, under multiple Acts including the Punjab VAT Act, 2005, the Punjab General Sales Tax Act, 1948, and others. The scheme offers graded relief to taxpayers based on the size of their dues.
- For dues up to ₹1 crore: 100% waiver on interest and penalties, plus 50% waiver on tax.
- For dues between ₹1 crore and ₹25 crore: 100% waiver on interest and penalties, plus 25% waiver on tax.
- For dues above ₹25 crore: 100% waiver on interest and penalties, plus 10% waiver on tax.
Officials stated that this initiative will help clear thousands of pending cases, reduce compliance disputes, and enable industries to focus on growth.
Relief for Rice Millers Through Special OTS
In another major move, the cabinet approved the One Time Settlement (OTS) Policy for Rice Mills 2025. Many rice millers have struggled with outstanding dues and prolonged litigation with state procurement agencies. These disputes often blocked their eligibility to participate in future paddy milling.
The new policy is aimed at:
- Reviving sick rice mills.
- Reducing the backlog of litigation in courts.
- Ensuring smooth paddy lifting during the Kharif Marketing Season.
- Creating fresh employment opportunities in rural areas.
Industry experts believe this will restore confidence among rice millers while ensuring that farmers benefit from timely procurement.
Key Legislative Amendments
The cabinet also cleared several legislative amendments to promote planned growth and ensure smooth tax administration:
- Punjab Apartment and Property Regulation Act, 1995: Amendments to sections 5(1), 5(3)(ii), and 5(8) will ensure proper urban planning and mitigate problems faced by residents.
- Punjab Goods and Services Tax (Amendment Bill) 2025: The amendments align Punjab’s GST law with recent changes in the Central GST Act, ensuring compliance and ease of business.
These measures, officials said, reflect the state’s commitment to simplifying regulations and making Punjab more investor-friendly.
Exclusive Special Court at Mohali
The cabinet also gave the green signal to set up an exclusive Special Court at SAS Nagar, Mohali, dedicated to cases under the National Investigation Agency (NIA) Act. This move aims to speed up trials of sensitive cases and reduce delays.
The special court will also handle cases from other agencies such as the Enforcement Directorate (ED) and the Central Bureau of Investigation (CBI). A post of District and Sessions Judge/Additional District Judge will be created for this purpose.
Prosecution Sanction Against Former Minister
In a decisive step towards accountability, the cabinet approved a recommendation for prosecution sanction against former minister Sadhu Singh Dharmsot. He faces charges under the Prevention of Corruption Act and relevant sections of the Code of Criminal Procedure.
The move underlines the government’s resolve to ensure transparency and crack down on corruption in public life.
Towards a Self-Reliant Punjab
The series of approvals reflect Chief Minister Bhagwant Singh Mann’s vision of a self-reliant, transparent, and business-friendly Punjab. By reducing litigation, easing compliance, and reviving struggling industries, the government aims to put the state’s economy on a sustainable growth trajectory.
Officials believe these measures will not only boost investor confidence but also generate jobs, improve governance, and ensure better delivery of justice.