Civic bodies look at ways to sidestep new tax regime

Seek clarification to buy time, says Mayor

June 15, 2014 03:03 pm | Updated May 23, 2016 06:40 pm IST - KOCHI

With the new property tax regime proving a political hot potato even as civic body polls are just 16 months away, local bodies ruled by the Congress have chosen to adopt a “strategic” ploy to sidestep the issue. Meeting A day after he moved a resolution seeking clarity from the State government on the new tax regime in the Corporation council, Mayor Tony Chammany presented the “solution” at a meeting of heads of Congress-ruled local bodies from five central Kerala districts.

The meeting was held in Kochi on Saturday.

He warned that if implemented it would prove devastating for the party in the upcoming local body elections, leaving all development works undertaken by governing committees of local bodies futile. The proposal would have a similar effect as the step to restrict LPG gas cylinders had on the party prospects in the Lok Sabha elections. ‘Delaying tactics’ The way out was to use delaying tactics by seeking clarification from the State government, thereby, putting on hold the issue till after the elections, Mr. Chammany suggested at the session.

“Property tax revision is unavoidable and hence we will not ask the government to suspend it, but simply ‘clarify’ it,” he said.

A proposal in the government order making a minimum tax hike of 25 per cent mandatory for buildings had attracted widespread opposition, he said.

There was also lack of clarity over the issue of tax on commercial offices. Tax will be 150 per cent for commercial buildings under the new proposed tax regime.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.