Date: 2025-07-03Category: Not ApplicableState: MaharashtraCountry: India
Part V-A, Ext. 21, L. A. BILL No. LXXIV OF 2025.
A BILL to amend Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late Fee (Payable to Public Sector Undertaking Companies) Act, 2025. Thursday, 3rd July 2025.
**Executive Summary**
The document is a Bill introduced in the Maharashtra Legislative Assembly on July 3, 2025, to amend the "Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late Fee (Payable by Public Sector Undertaking Companies) Act, 2025." The Act comes into force on March 21, 2025. The Bill aims to unlock outstanding tax dues, reduce pending litigations, and proposes to amend clause (c) of sub-section (1) of section 2 of the original Act.
**Key Points / Main Content**
* **Amendment to Short Title (Section 2):** The phrase "(Payable by Public Sector Undertaking Companies)" is deleted from the short title of the original Act.
* **Amendment to the Definition of "Applicant" (Section 3):** The definition of "applicant" is updated to include a broader range of entities.
* The term now includes: Public Sector Undertaking Companies, Corporations, Public Sector Banks, Departments, Rural or Urban Local Bodies, or other Authorities, Enterprises or Entities, which are established under an Act of the Parliament or any State Legislature or by any Government Resolution, liable to pay arrears of tax, interest, penalty or late fee.
* **Validation (Section 4):** Payments of tax, interest, penalty, or late fee made or collected from any applicant after the commencement of the original Act are validated.
* These payments are deemed validly paid and collected if the provisions of the original Act, as amended, had been continuously in force from March 21, 2025.
* No suit or proceeding can be maintained or continued for refunds of these amounts.
* No court or authority shall enforce any decree or order directing the refund of these amounts.
* **Statement of Objects and Reasons:** The Bill intends to unlock the amount involved in the outstanding dues of taxes and reduce the old pending litigations by providing a lump-sum payment option for settlement of arrears of tax, interest, penalty, or late fee and closure of old pending litigations for such Authorities, Corporations, and Departments willing to settle their arrears by making such lump-sum payments.
* **Financial Implications:** The Bill does not involve any recurring or non-recurring expenditure from the Consolidated Fund of the State.
* **Governor's Recommendation:** The Governor of Maharashtra recommends the introduction of the Bill to the Maharashtra Legislative Assembly.
**Impact Analysis**
**Stakeholder: Public Sector Undertaking Companies, Corporations, Public Sector Banks, Departments, Rural or Urban Local Bodies, or other Authorities, Enterprises or Entities**
* **Impact:** The stakeholders benefit from the settlement scheme for arrears of tax, interest, penalty, or late fees.
* **Action Required:** Review the updated definition of "applicant" and assess eligibility for the settlement scheme. If eligible, comply with the scheme's conditions to avail the benefits.
Key Entities Referenced
Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late Fee (Payable by Public Sector Undertaking Companies) Act, 2025: The principal act that is being amended by the current bill, providing for the settlement of tax arrears for public sector undertaking companies in Maharashtra.
Maharashtra Legislative Assembly: The legislative body where the bill was introduced.
Department of Goods and Services Tax, Government of Maharashtra: The government department responsible for administering the Acts under which the arrears are owed.
Public Sector Undertaking Companies: The entities that are eligible for the settlement scheme under the Act.
Mumbai: Location of Vidhan Bhavan and relevant government offices involved in the policy.
RNI No. MAHBIL /2009/40123
महाारााष्ट्र� शाासन रााजपत्र
असाधााराण भााग पाच–अ
वर्षष ११, अंक ११(२)] गुरुवारा, जुलैै ३, २०२५/आर्षाढ १२, शाके १९४७ [पृष्ठेे ५, किंकंमत : रुपयेे ३६.००
असाधााराण क्रमांक २१
प्रााकिंधाकृत प्राकाशान
महाारााष्ट्र किंवधाानसभाेत व महाारााष्ट्र किंवधाानपरिरार्षदेेत सादेरा केलैेलैी किंवधाेयेके (इंंग्रजी अनुवादे).
MAHARASHTRA LEGISLATURE SECRETARIAT
The following Bill was introduced in the Maharashtra Legislative Assembly on the
3rd July, 2025 is published under Rule 117 of the Maharashtra Legislative Assembly Rules :—
L. A. BILL No. LXXIV OF 2025.
A BILL
to amend Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late
Fee (Payable by Public Sector Undertaking Companies) Act, 2025.
Mah. WHEREAS it is expedient to amend the Maharashtra Settlement
XVII of
of Arrears of Tax, Interest, Penalty or Late Fee (Payable by Public Sector
2025.
Undertaking Companies) Act, 2025, for the purposes hereinafter appearing; it
is hereby enacted in the Seventy-sixth Year of the Republic of India as follows :–
1. (1) This Act may be called as the Maharashtra Settlement of Arrears Short title and
of Tax, Interest, Penalty or Late Fee (Payable by Public Sector Undertaking commencement.
Companies) (Amendment and Validation) Act, 2025.
(2) It shall be deemed to have come into force on the 21st March 2025.
(१)
भाग पाच–अ- २१–१2 महाारााष्ट्र शाासन रााजपत्र असाधााराण भााग पाच-अ, जुलैै ३, २०२५/आर्षाढ १२, शाके १९४७
Amendment 2. In the Short title of the Maharashtra Settlement of Arrears of Tax, Mah.
of Interest, Penalty or Late Fee (Payable by Public Sector Undertaking Companies) XVII of
Short title of 2025.
Act, 2025 (hereinafter referred to as “the principal Act”), the brackets and words
Mah. XVII of
2025. “(Payable by Public Sector Undertaking Companies)” shall be deleted.
Amendment 3. In section 2 of the principal Act, in sub-section (1), for clause (c), the
of section 2 of following clause shall be substituted, namely :–
Mah. XVII of
2025. “(c) “applicant” means a Public Sector Undertaking Companies,
Corporations, Public Sector Banks, Departments, Rural or Urban Local
Bodies, or other Authorities, Enterprises or Entities, which are established
under an Act of the Parliament or any State Legislature or by any
Government Resolution which is liable to pay arrears of tax, interest,
penalty or late fee levied or leviable under the Relevant Act and who
desires to avail the benefit of settlement by complying with the conditions
under this Act.”.
Validation. 4. Notwithstanding anything contained in the Maharashtra Settlement Mah.
of Arrears of Tax, Interest, Penalty or Late Fee (Payable by Public Sector XVII of
2025.
Undertaking Companies) Act, 2025 (hereinafter referred to as “the said Act”)
or in any judgement, decree or order of any Court, any payment of requisite
amount of tax, interest, penalty or late fee under the relevant Act as defined
under the said Act, paid or collected under the said Act from any applicant,
after the commencement of the said Act, shall be deemed to be and shall be
deemed always to have been, duly and validly paid and collected in accordance
with law as if the provisions of the said Act, as amended by this Act, had been
continuously in force with effect from the 21st March 2025 and accordingly,—
(a) no suit or proceedings shall be maintained or continued in or before
any court or any authority for the refund of any amount received or realised
by way of requisite amount ;
(b) no court or any other authority shall enforce any decree or order
directing the refund of any amount received or realised by way of such
requisite amount.”.महाारााष्ट्र शाासन रााजपत्र असाधााराण भााग पाच-अ, जुलैै ३, २०२५/आर्षाढ १२, शाके १९४७ 3
STATEMENT OF OBJECTS AND REASONS.
The Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late
Fee (Payable by Public Sector Undertaking Companies) Act, 2025 (Mah. XVII
of 2025) has been enacted to provide for settlement of arrears of tax, interest,
penalty or late fee, which were levied, imposed or payable under the various
Acts implemented by the Department of Goods and Services Tax, Government
of Maharashtra, payable by the Public Sector Undertaking Companies which
are registered under the Companies Act, 2013.
2. There is a large amount of levy of tax being litigated by the
Corporations, Public Sector Banks, Departments, Rural or Urban Local Bodies
or other Authorities, Enterprises or Entities, which are registered under Central
Acts other than the Companies Act, 2013 or State Acts or are constituted by
the Government Resolutions.
Therefore, in order to unlock the amount involved in the outstanding dues
of taxes and reduce the old pending litigations, the Government considers it
expedient to provide for lump sum payment option for settlement of arrears of
tax, interest, penalty or late fee and closure of old pending litigations of such
Authorities, Corporations, Departments, etc; which are willing to settle their
arrears by making such lump sum payments. It is, therefore, proposed to amend
clause (c) of sub-section (1) of section 2 of the said Act, suitably.
3. The Bill seeks to achieve the above objectives.
Mumbai, AJIT PAWAR,
Dated the 2nd July 2025. Deputy Chief Minister (Finance).
भाग पाच–अ- २१–२4 महाारााष्ट्र शाासन रााजपत्र असाधााराण भााग पाच-अ, जुलैै ३, २०२५/आर्षाढ १२, शाके १९४७
FINANCIAL MEMORANDUM
The Bill proposes to provide for settlement of arrears under various Acts
administered by the Department of Goods and Services Tax, Government of
Maharashtra, for the Corporations, Public Sector Banks, Departments, Rural
or Urban Local Bodies or other Authorities Enterprises or Entities. There is
no provision in the Bill which would involve the recurring or non-recurring
expenditure from the Consolidated Fund of the State, on its enactment as an
Act of the State Legislature.महाारााष्ट्र शाासन रााजपत्र असाधााराण भााग पाच-अ, जुलैै ३, २०२५/आर्षाढ १२, शाके १९४७ 5
GOVERNOR’S RECOMMENDATION UNDER ARTICLE 207 OF THE
CONSTITUTION OF INDIA
(Copy of Government of Maharashtra Order, Law and Judiciary Department)
In exercise of the power conferred upon him by clause (1) of Article 207
of the Constitution of India, the Governor of The Maharashtra is pleased
to recommend to the Maharashtra Legislative Assembly, the Introduction
of the Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late
Fee (Payable by Public Sector Undertaking Companies) (Amendment and
Validation) Bill, 2025.
Vidhan Bhavan : JITENDRA BHOLE,
Mumbai, Secretary-1,
Maharashtra Legislative Assembly.
Dated the 3rd July 2025.
ON BEHALF OF GOVERNMENT PRINTING, STATIONERY AND PUBLICATION, PRINTED AND PUBLISHED BY DIRECTOR,
RUPENDRA DINESH MORE, PRINTED AT GOVERNMENT CENTRAL PRESS, 21-A, NETAJI SUBHASH ROAD, CHARNI ROAD,
MUMBAI 400 004 AND PUBLISHED AT DIRECTORATE OF GOVERNMENT PRINTING, STATIONERY AND PUBLICATIONS,
21-A, NETAJI SUBHASH ROAD, CHARNI ROAD, MUMBAI 400 004. EDITOR : DIRECTOR, RUPENDRA DINESH MORE.