Chandigarh, April 9 -- In a major setback to nearly 10,000 traders in Chandigarh, the Ministry of home affairs (MHA) has declined to approve a one-time settlement (OTS) scheme for pending VAT cases, dashing their hopes of getting relief on lines similar to those existing in Punjab, Haryana and Himachal Pradesh.

The proposal, which was forwarded by the UT administration following persistent demands from trader bodies, sought to address legacy VAT disputes through a simplified settlement mechanism. As per the traders, they are being unfairly penalised in cases from the pre-GST era, often raising hefty demands due to the non-availability of 'C Forms' and other documents. Collecting old 'C Forms' has become increasingly difficult, as many fi...