As of now, Mumbai exempted from LBT
Chief minister Prithviraj Chavan announced on Saturday that Octroi would remain until the Centres’ Goods and Service Tax is introduced in the next two years. The state will not impose local body tax ( LBT) without the consent of all stakeholders. He also said LBT will stay as an al- ternative source of revenue for other municipal bodies.
Chavan has provided relief traders by announcing that LBT will be collected through the sales tax authority instead of the municipal bodies. Chavan said that Municipal Corporation of Greater Mumbai will stick to Octroi and the state will not forcefully impose LBT. Meanwhile, LBT will continue in the state unless and until an alternate option comes through during the discussion with trade federations.
Chavan said, “Out of 26 corporations, LBT exists in 25 except Mumbai. The ruling Shiv Sena – BJP at MCGM and municipal commissioner had said that they want to continue with Octroi.”