Tax consultants seek extension of deadline for disposal of pending VAT-era appeals

Indore: Tax consultants and trade representatives in Madhya Pradesh have urged the state commercial tax department to extend the deadline for disposal of thousands of pending appeals related to pre-GST laws, citing heavy workload and the complexity of cases.In a representation submitted to the department, the tax body requested that the current deadline of March 31, 2026 be extended by one year to March 31, 2027 to ensure proper adjudication of around 3,500 appeal that are still pending before appellate authorities. The time limit for disposal of these appeals was fixed under a state govt notification issued on March 28, 2025, covering cases related to the Madhya Pradesh VAT Act, 2002, the Central Sales Tax Act, 1956, the Madhya Pradesh Entry Tax Act, 1976, and the Madhya Pradesh Luxury, Entertainment, Amusement and Advertisement Tax Act, 2011.MP Tax Law Bar Association president A K Lakhotia said both taxpayers and professionals are heavily engaged in GST-related compliance, making it difficult to devote adequate time to legacy tax cases."Work related to GST returns, audits, appeals and investigations increased enormously in recent years. At the same time, a large number of legacy cases under the earlier tax laws are still pending, which require detailed examination of records and documents before disposal," Lakhotia said.He said many of the pending appeals involve complex legal and factual issues that require proper hearings and verification of records."Extending the time limit will help ensure fair disposal of these cases while also safeguarding the principles of natural justice and protecting the state's revenue interests," he added.