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Business

100% hike in development tax dropped

by TLN Team July 23, 2021July 23, 2021
written by TLN Team July 23, 2021July 23, 2021
100% hike in development tax dropped

The House of Nagpur Municipal Corporation (NMC) unanimously cancelled the 100 percent rise in the development tax in the Nagpur Development Corporation area. This will give huge relief to the builders. Municipal commissioner Radhakrishnan B had proposed the rise in the tax.

In the online general meeting held on Thursday, ruling party leader Avinash Thakre brought an adjournment motion terming the development tax hike made by the com missioner as irrational.

On this, mayor Dayashankar Tiwari said that in lieu of 2434 crore, the NMC has given 9 crore of land worth 53 crore for city, station and other serv ices. Apart from this, an amount of 268 crore has been earned from the cess levied on stamp duty. In such a situation, an amount and property of about 400 crore has been paid to the Metro Rail Administration.

Cess is being collected on stamp duty. In such a situa tion, it is unfair to impose an economic burden on the residents of the city by increasing the develop ment tax to 100 per cent. Land on which the Metro corridor has been built is valued at more than 1000 crore. For this reason, it would be inappropriate to increase development tax. All the members of the House supported this. The motion was approved unanimously.

Avinash Thakre said that the NMC has paid a huge part of its own share. In such a situation, increas ing the fee is an injustice to the residents of the city. The special thing is that the tax rise been approved with the signature of municipal commisioner Radhakrishnan B. No noti fication has been issued by the state government.

Former mayor Pravin Datke said that in the name of Metro Rail, the Municipal Administration has done the work of put ting financial burden on the residents of the city.

This is an injustice to the citizens. This increase should be canceled imme diately. Opposition leader Tanaji Oneway also termed the fee hike as wrong.

Municipal commissioner Radhakrishnan B said in the House that for the Metro rail project, land has to be given to the Municipality for free. If the land is being used for metro stations, sheds and other facilities, then that fund can be assessed. The NMC is yet to pay its own share of 377 crore. The govern ment has given the option of providing funds through TOD, 100% development tax, PPP project, stamp duty and advertisement.

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