Uttar Pradesh: Yogi Adityanath Cabinet Approves Interest Waiver Scheme-2026 For Old Tax Dues

Lucknow, October 9, 2026: The Cabinet, chaired by Chief Minister Yogi Adityanath on Friday, approved the proposal to implement the Uttar Pradesh Interest Waiver Scheme-2026. Under the scheme, interest and penalties on outstanding dues arising under various tax laws up to December 31, 2025, will be waived. The relief will remain available for three months. The scheme will cover old outstanding dues under several tax laws, including sales tax, central sales tax, trade tax and VAT.

Tax Laws Covered Under Scheme

The scheme will cover outstanding dues arising under the Uttar Pradesh Sales Tax Act, 1948; Central Sales Tax Act, 1956; Uttar Pradesh Entertainment and Betting Tax Act, 1979; Uttar Pradesh Trade Tax Act, 1995; Uttar Pradesh Entry Tax Act, 2007; and Uttar Pradesh Value Added Tax Act, 2008. In addition, cases covered under the rules relating to entertainment tax and the Uttar Pradesh Cable Television Network Rules, 1997, will also fall within the ambit of the scheme.

Relief For Taxpayers With Pending Dues

Finance and Parliamentary Affairs Minister Suresh Kumar Khanna said, "The scheme was being introduced to waive interest and penalties levied on outstanding dues up to the stipulated date. It will provide relief to taxpayers with pending dues under the relevant tax laws."

The Uttar Pradesh Interest Waiver Scheme-2026 will also provide an opportunity to encourage the settlement of old tax disputes and outstanding dues.