NMMC collected over Rs 24 cr through LBT from April 1
Even though traders in Navi Mumbai might not have willingly accepted the Local Body Tax (LBT) that replaced cess since April 1, 2013, till yesterday, the Navi Mumbai Municipal Corporation (NMMC) had managed to acquire revenue of Rs 24.58 crore from LBT.
The LBT is to be paid to the corporation by traders on new goods that are brought within the limits of the city for consumption, use and sale. The percentage of tax varies from 0-7%, depending on the items.
Unlike Mumbai where traders pay octroi, those in Navi Mumbai were paying cess for over a decade. Traders have been asked to directly deposit the tax in the listed bank as per directions given by NMMC. Sudhir Cheke, deputy municipal commissioner (Cess), said, “The same system was followed by us earlier.
The traders were required to deposit the amount in any of the specified 12 banks that were listed between Digha to Belapur. Till now, NMMC has received Rs 24.58 crore as LBT and a clearing of Rs 10 crore is still remaining. The due date given to them is 20th of every month and we hope they will adhere to it.”
Sources from NMMC said that no new registration numbers were required by the traders and cess number was converted into LBT number. The traders were informed of the change.
While agricultural products have been exempted, the tax on items like wine and spirit has now risen to 7% from 4%. Similarly, tax on industrial items has risen to 2.5-3% from 1%. In the last financial year, NMMC had collected Rs 420 crore as revenue from cess with a monthly average of approximately Rs 35 crore.