NMMC to keep eye on IT com­pa­nies for flout­ing tax ex­emp­tion norms

Hindustan Times ST (Mumbai) - HT Navi Mumbai Live - - HT NAVI MUMBAI - G Mo­hi­ud­din Jeddy ht­for­nav­i­mum­bai@hin­dus­tan­times.com

CBD BELAPUR: Navi Mum­bai Mu­nic­i­pal Cor­po­ra­tion (NMMC) has re­vealed that it is los­ing Rs150 crore in taxes an­nu­ally ow­ing to the ex­emp­tions and in­cen­tives to com­pa­nies in the in­for­ma­tion and tech­nol­ogy (IT) sec­tor.

Since the abo­li­tion of Lo­cal Body Tax (LBT), the NMMC is now heav­ily de­pen­dent on the grant from state and the prop­erty tax. Mem­bers of the stand­ing com­mit­tee on Thurs­day de­manded an ex­ten­sive of sur­vey of the 268 IT com­pa­nies in the city and sub­mis­sion of a re­port to the state.

NMMC house l eader JD Su­tar said, “The govern­ment has set norms. How­ever, the civic ad­min­is­tra­tion needs to take some ac­tion in this mat­ter.”

“Con­duct a sur­vey of the com­pa­nies. IT parks have come up but there are other busi­nesses go­ing on there. There is a need to check on them,” he said.

Stand­ing com­mit­tee chair­per­son Ne­tra Shirke or­dered that a sur­vey of all the IT com­pa­nies in the city be con­ducted. “The sur­vey shall in­clude all the IT com­pa­nies in­clud­ing Re­liance, Mindspace, Wipro and oth­ers. If any­one is found flout­ing the norms, strict ac­tion will be taken against them,” said Shirke.

The state has ex­tended sev­eral in­cen­tives to IT com­pa­nies to en­sure they do busi­ness in the state. How­ever, there have been re­ports of some com­pa­nies mis­us­ing the pro­vi­sion and do­ing busi­ness other than IT.

Deputy mu­nic­i­pal com­mis­sioner (prop­erty tax) Prakash Kulka­rni said, “Ow­ing to the ex­emp­tions, the NMMC loses Rs150 crore an­nu­ally.”

Cor­po­ra­tor MK Mad­hvi said, “The in­cen­tive pro­posal should be placed be­fore the NMMC gen­eral body. We are al­ready los­ing out on the LBT and ow­ing to the ex­emp­tions to the IT com­pa­nies, we are suf­fer­ing more losses.”

Any de­ci­sion against the com­pa­nies could af­fect sev­eral large com­pa­nies in the city.

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.