Chhattisgarh’s government has introduced a significant relief package for small businesses, including a waiver of VAT liabilities up to ₹25,000 for dues older than a decade. This initiative will benefit more than 40,000 traders and help reduce the backlog of over 62,000 pending cases. The announcements came after a cabinet meeting led by Chief Minister Vishnu Deo Sai.
The cabinet approved two crucial bills: the Chhattisgarh Goods and Services Tax (Amendment) Bill 2025 and the Chhattisgarh Arrears Tax, Interest, and Penalty Settlement (Amendment) Bill 2025. These bills are slated to be presented in the upcoming monsoon session. The changes aim to ease business operations for small businesses, contributing to the ‘Ease of Doing Business’ initiative.
Several changes to GST regulations were also approved. Input Service Distributors will be able to distribute the IGST RCM across their branch offices. The deposit needed for appeals has been reduced from 20% to 10%. Moreover, the ‘time of supply’ provision has been removed. Additionally, the government will implement a track and trace mechanism for goods like tobacco, and transactions in Special Economic Zones (SEZs) will be excluded from GST.