Eyes Revenue Recovery of Rs 200 Crore
KRC TIMES NE Desk
Shillong : The Meghalaya government has rolled out a One-Time Settlement (OTS) Scheme offering substantial tax and penalty waivers to commercial vehicle owners, aiming to recover long-pending dues, improve compliance and generate up to Rs 200 crore in revenue.
The scheme was formally launched in Shillong by Deputy Chief Minister and Transport Minister Sniawbhalang Dhar following approval from the state cabinet.
Designed as a limited-period amnesty programme, the initiative allows commercial vehicle operators to regularise outstanding liabilities by paying reduced amounts under a government-approved settlement formula.
Under the scheme, commercial vehicle owners will receive an 80 per cent waiver on pending Motor Vehicle Tax and Goods and Passenger Tax dues, including related penalties. In addition, the government has announced a 90 per cent waiver on penalties associated with overdue Fitness Certificates, offering significant relief to transport operators burdened by accumulated liabilities.
According to Dhar, the scheme covers pending dues accumulated over several years, regardless of when they originated, enabling vehicle owners to settle their obligations under a single settlement framework.
The Transport Department estimates that total outstanding dues across Meghalaya have reached nearly Rs 1,100 crore. Of this amount, approximately Rs 900 crore pertains to penalties linked to Fitness Certificates, making it the largest component of unpaid liabilities.
Officials believe the settlement programme could result in the recovery of between Rs 180 crore and Rs 200 crore, provided a substantial number of vehicle owners take advantage of the waiver scheme before its expiry.
Government data indicates that tax arrears are widespread across the state’s transport sector.
According to official figures:
” Around 65,000 vehicles have pending Motor Vehicle Tax liabilities.
” 12,642 vehicles owe Goods and Passenger Tax payments.
” More than 57,000 vehicles have outstanding Fitness Certificate penalties.
Officials expect the scheme to encourage transport operators to clear dues that may otherwise remain unrecoverable while helping the government improve compliance levels.
The One-Time Settlement Scheme will remain in force until August 31, 2026, giving commercial vehicle owners nearly three months to avail themselves of the concessions. The government has urged truck owners, passenger transport operators and other commercial vehicle stakeholders to utilise the opportunity and regularise their records before the deadline.

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Dhar cautioned that once the scheme concludes, vehicle owners will have to resume regular tax payments on a quarterly or monthly basis as prescribed under existing regulations. He also emphasised that such large-scale waiver programmes cannot be introduced frequently and should be viewed as a special one-time opportunity.
Addressing questions on the proposed vehicle scrappage policy, the Transport Minister said the state government is currently working on the necessary systems and administrative mechanisms required for its implementation.
He noted that the policy would be rolled out only after the required groundwork, infrastructure and procedural framework are put in place.
The Meghalaya government believes the OTS Scheme will serve multiple objectives by reducing the burden of accumulated dues on vehicle owners, increasing tax compliance and strengthening state revenues.
Officials say the initiative is expected to bring thousands of defaulting vehicles back into the formal system while helping the government recover a portion of long-pending arrears that have accumulated over several years.
With outstanding dues touching nearly Rs 1,100 crore, the success of the settlement programme could provide a significant boost to Meghalaya’s revenue collection efforts while offering much-needed relief to the commercial transport sector.

