Tax Consultants in Madhya Pradesh Urge Deadline Extension for Pre-GST Appeals
Tax consultants and trade representatives across Madhya Pradesh have formally requested the state's commercial tax department to extend the deadline for disposing of thousands of pending appeals related to pre-GST era tax laws. The appeal highlights the substantial workload and intricate nature of these legacy cases as primary reasons for seeking additional time.
Formal Request for One-Year Extension
In a detailed representation submitted to the department, the tax body has specifically asked for the current deadline of March 31, 2026 to be extended by one full year to March 31, 2027. This extension is deemed necessary to ensure proper adjudication of approximately 3,500 appeals that remain pending before various appellate authorities throughout the state.
The original time limit for disposing of these appeals was established under a state government notification issued on March 28, 2025. This notification covers cases arising from multiple pre-GST tax laws, including:
- The Madhya Pradesh VAT Act, 2002
- The Central Sales Tax Act, 1956
- The Madhya Pradesh Entry Tax Act, 1976
- The Madhya Pradesh Luxury, Entertainment, Amusement and Advertisement Tax Act, 2011
GST Compliance Creates Resource Strain
A K Lakhotia, president of the MP Tax Law Bar Association, explained that both taxpayers and tax professionals are currently overwhelmed with GST-related compliance activities. This heavy engagement with the Goods and Services Tax system makes it exceptionally challenging to allocate sufficient time and resources to legacy tax cases from the pre-GST period.
"Work related to GST returns, audits, appeals, and investigations has increased enormously in recent years," Lakhotia stated. "Simultaneously, a substantial number of legacy cases under the earlier tax laws remain pending. These cases require detailed examination of extensive records and documents before they can be properly disposed of."
Complexity of Pending Cases
Lakhotia further emphasized that many of the pending appeals involve complex legal interpretations and intricate factual issues. These cases demand proper hearings, thorough verification of records, and careful legal analysis to ensure just outcomes.
"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 legitimate revenue interests," he added, highlighting the dual benefit of proper case resolution.
The request underscores the ongoing challenges tax professionals face in balancing current GST obligations with resolving historical tax disputes, suggesting that adequate time is essential for maintaining both compliance quality and legal fairness in the state's tax administration system.
