NMC revenue up 13.49%

NASHIK: Within a year of its implementation, the local body tax (LBT) collection has set the cash registers ringing at the civic body. Despite the poor payment of LBT returns by the traders, the Nashik Municipal Corporation (NMC) has registered a 13.49% hike in the revenue in the current fiscal compared with last year.
As per the norms, the traders have to pay LBT of the previous month by 20th of the every month.The NMC has collected Rs 190.78 crore through LBT in the first quarter (April to June) of the current fiscal as against Rs 168.09 crore generated during the same period in 2013-14, sources from municipal corporation said.
Speaking to TOI, an NMC official said, “Last year, the LBT came into effect on May 22. As per the norms, traders have a margin of 40 days to pay the taxes. There was a gap of one month that reflected in the collection.”
Deputy municipal commissioner (LBT) Haribhau Phadol said, “The rise of 13.49% in the revenue through LBT in the first four months of the current fiscal compared with last year is because of the one month gap last year. This year, we collected revenue every month from the beginning of this financial year.”
In the meantime, the NMC has started issuing notices to the traders who have not filed the LBT return even after extension of the deadline. Around 1,400 traders have been served with notices so far, giving them an ultimatum of 15 days. The fine of Rs 5,000 is to be imposed on traders if they fail to file LBT return within 15 days of issuance of the notices.
The LBT was introduced in the limit of the municipal corporation from May 22 last year, replacing octroi. The industrial sector contributes almost 62% of the total revenue through LBT. The economic slowdown had affected the revenue of the municipal corporation through LBT, resulting in a drop of 12%. The civic body registered revenue collection of Rs 612 crore in 2013-14 as against the revenue of Rs 695.51 crore collected in the 2012-13 financial year.