Haryana One Time Settlement Scheme 2026

Issued by Excise and Taxation Department, Haryana | Notification No. 07/ST-1 (29th May 2026)

Effective from 1st June 2026

What is this scheme?

The Haryana Government has launched a One Time Settlement (OTS) Scheme to help businesses and traders clear their old pending tax demands under pre-GST laws in one go — at a substantially reduced amount. Outstanding dues for any period up to 30th June 2017 can be settled by paying only the tax component (after waiver) while getting complete waiver of interest and penalty.

The scheme is available for 120 days from 1st June 2026 (i.e. up to 28th September 2026).

Which Acts are covered?

The scheme covers pending dues under the following Haryana/Central Acts applicable up to 30th June 2017:

Haryana VAT Act, 2003 Central Sales Tax Act, 1956 Haryana General Sales Tax Act, 1973 Haryana Tax on Luxuries Act, 2007 Haryana Entertainment Duty Act, 1955 LADT Act, 2000 Haryana Entry Tax Act, 2008

Who is Eligible?

Any person / assessee (registered or not) with quantified outstanding dues up to 30th June 2017.

Assessees with dues pending in appeal before any forum (subject to unconditional withdrawal).

Assessees whose outstanding dues have been uploaded in Form GST DRC-07A.

Outstanding dues up to Rs. 1 Lakh in any assessment year get a 100% automatic waiver (no app needed).

Who is NOT Eligible?

Cases where the demand relates specifically to erroneous refunds.

Cases where criminal proceedings have been initiated for that particular year.

Applicants under OTS 2023 or OTS 2025 whose files weren't rejected before 1st June 2026.

No settlement allowed via Input Tax Credit (ITC) — cash payment only.

How much do I pay? (Waiver Structure)

Interest and penalty are completely waived. Payments are computed slab by slab on your net tax demand.

Schedule – I A: For HVAT, CST, LADT, Entry Tax, Luxuries, Entertainment

Net Tax Demand Slab	Standard Waiver	You Pay (% of slab)
Up to Rs. 1 Lakh	100%	Nil (0%)
Above Rs. 1 Lakh to Rs. 10 Lakh	60%	40% of this slab
Above Rs. 10 Lakh to Rs. 1 Crore	50%	50% of this slab
Above Rs. 1 Cr. to Rs. 10 Cr.	40%	60% of this slab
Above Rs. 10 Cr. to Rs. 30 Cr.	35%	65% of this slab
Above Rs. 30 Cr. to Rs. 60 Cr.	30%	70% of this slab
Above Rs. 60 Crore	0%	100% of this slab

Schedule – I: For Haryana General Sales Tax Act, 1973 only

Net Tax Demand Slab	Standard Waiver	You Pay
Up to Rs. 1 Lakh	100%	Nil (0%)
Above Rs. 1 Lakh	70%	30% of this slab

Declaration Linked Waiver (DLW) Bonus: If you missed submitting original statutory forms (C Form, H Form, F Form, etc.), you can upload genuine forms along with your application. Your total tax demand will be slashed accordingly before standard slab waivers are calculated!

How to Apply (Step-by-Step)

Portal Registration

Calculate Settlement Amount

Compute dues, factor in DLW reductions if submitting old forms, and run slab calculations. Interest and penalties automatically zero out.

Pay Dues (Full or Installment)

Deposit the required cash amount under the specific Act's treasury head before proceeding to online filing.

File Form OTS-1

Submit Form OTS-1 online with e-verification. Note: A separate application is mandatory for each Act and each Assessment Year.

Physical Form Submissions (DLW Only)

If claiming DLW advantages, physical copies of the forms must reach the jurisdictional authority office within 7 days of online submission.

Payment Options & Installments

Settlement Amount	At App Filing	2nd Installment	3rd Installment
Up to Rs. 5 Lakh	100% (Full Pay)	N/A	N/A
Rs. 5 Lakh to Rs. 25 Lakh	50% upfront	50% within 60 days	N/A
More than Rs. 25 Lakh	40% upfront	30% within 60 days	30% within 120 days

Key Timelines at a Glance

Action Item	Prescribed Deadline
Scheme Closing Date	28th September 2026
Physical Forms Submission (DLW)	Within 7 days of online submission
Deficiency Notice Reply (Form OTS-3)	Within 15 days of notice issuance
Withdrawal of Appeals Filed	Within 60 days of Provisional Order (OTS-4A)
Second Installment Window	Within 60 days of Provisional Order (OTS-4A)
Third Installment Window	Within 120 days of Provisional Order (OTS-4A)

Critical Warning: If payments are late, appeals are not officially withdrawn, or falsified statutory records are filed, your application will be immediately rejected. On rejection, any amount paid will be permanently adjusted against original un-waived liabilities with zero refund possibilities.

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