Tax Bar & Trade Associations Warn Agitation if Refunds Not Released

Ludhiana, November 28, 2025: Punjab Tax Bar Association, District Taxation Bar Associations (Sales Tax), and various Trade Organizations express serious concern over the prolonged delay in issuance of VAT and GST refunds by the Government of Punjab. They resolved that if pending refunds are not released in the next 10 days, Tax Bar Associations and Trade & Industrial Associations across Punjab will start agitation at all district headquarters in the State.

Flanked by representatives of different organisations, Anil Sarin, State President, Punjab Tax Bar Association said that these delays have created significant financial hardship for taxpayers across the State, particularly small and medium enterprises that rely heavily on timely refunds to maintain their working capital.

Sarin claimed that despite repeated representations and assurances from the authorities, a large number of refund applications—some pending for several months—remain unresolved. This has resulted in avoidable liquidity constraints, disruption in business operations, and an overall decline in trade confidence in the State.

The Associations and Trade Bodies emphasised that the timely disbursement of refunds is not a concession but a statutory right of the taxpayer. Holding back legitimate refunds constitutes not only non-compliance with established provisions of VAT and GST laws but also undermines the trust between the business community and the administration.

They urged the Hon’ble Chief Minister of Punjab, the Finance Minister, and the Financial Commissioner (Taxation) to take immediate and concrete steps for clearing all pending VAT and GST refunds without further delay, establishing a transparent, time-bound mechanism for processing future refund claims, and fixing accountability for undue delays in refund disbursal. 

The business community stands committed to compliance and cooperation with the Government. However, the continued withholding of refunds is causing severe distress and must be resolved urgently in the interest of trade, industry, and the State’s economic stability.

Prominent present on the occasion were Raj Kumar Singla President Fastener Suppliers Association, Parveen Goyal, President, Punjab Pradesh Beopar Mandal; Parveen Sharma, Gen. Secretary, Punjab Pradesh Beopar Mandal, Ayush Aggarwal, State Secretary, Punjab Pradesh Beopar Mandal;  Vishal Puri Member, Punjab Pradesh Beopar Mandal;  Navdeep Singh, Member Punjab Pradesh Beopar Mandal, Bobby Jindal, General Secretary Punjab Dyers Association, B K Gupta, Chairman Punjab Tax Bar Association; Rupinder Kansal, Secretary General Punjab Tax Bar Association; Tarlok Bhalla, Vice President, Punjab Tax Bar Association; Arun Kanwal, General Secretary, Punjab Tax Bar Association; Saket Garg, President DTBA (Sales Tax), Ludhiana; Naresh Gaba, Secretary DTBA (Sales Tax), Ludhiana and Jatinder Mittal, Chairman United cycle parts Association