Amnesty scheme on anvil to ease Customs cases backlog

Gold, wilful default, narcotics and smuggling cases to be kept out

- MONIKA YADAV

The government is likely to announce a Customs amnesty scheme in the Union Budget for 2025-26 to clear a large backlog of legacy disputed cases, according to people familiar with the matter.

The proposed scheme is expected to target long-pending Customs disputes stuck at various stages, including tribunals and courts.

Cases involving gold, wilful default, narcotics and smuggling will be excluded, they said.

Under the proposal, eligible taxpayers would be able to settle disputes by paying only the principal Customs duty amount, with the government considering a waiver of interest and penalties, said one of the sources. The move is expected to unlock capital for businesses while enabling faster recovery of dues.

An email sent to the Finance Ministry seeking comment remained unanswered until publication.