MCC to slash solid waste management cess for industrial units functional in its jurisdiction

City Corporation will collect SWM cess at the rates being collected by Mysuru City Corporation

Published - July 08, 2024 09:12 pm IST - MANGALURU

Responding to the demand by the Kanara Industries Association (KIA), Baikampady, the Mangaluru City Corporation has decided to reduce solid waste management (SWM) cess collected by industrial units under its jurisdiction.

In the recent meeting, the MCC Council approved a recommendation by the Standing Committee on Taxes and Finance to fix the SWM cess at rates equivalent to that of Mysuru City Corporation. A formal notification was expected to be issued soon.

The association during the November 15, 2022 interaction programme with the MCC Commissioner had demanded a reduction in the SWM cess that was collected along with the property tax. KIA had pointed out that the rates were too high, particularly for small-scale and micro industries operating within the jurisdiction of the Corporation.

On a higher side

While the MCC collected ₹6,000 towards SWM from industrial units working within 1,000 sqft. space, it collected ₹12,000 from units that had up to 2,000 sqft. space, ₹18,000 from units having up to 5,000 sqft. space, and collected cess at 10% increased rates for every 1,000 sqft. for units working in spaces beyond 5,001 sqft.

KIA, however, demanded a reduction in the cess to ₹1,500 for units below 1,000 sqft., ₹3,000 for those within 1,001-5,000 sqft. and ₹4,500 for units beyond 5,001 sqft.

The committee did a comparative study of SWM cess collected by two other city corporations, Hubballi-Dharwad and Mysuru. While Hubballi-Dharwad Municipal Corporation collected ₹1,200, ₹2,400, ₹2,400, and ₹3,600 SWM cess for industrial units with up to 1,000 sqft., 2,000 sqft., 5,000 sqft., and beyond 5,001 sqft. respectively, the Mysuru City Corporation collected ₹2,400, ₹4,800, ₹4,800, and ₹7,200 respectively for these categories.

The Standing Committee unanimously resolved to recommend the collection of the SWM cess in MCC limits at the rates of Mysuru city Corporation.

Welcome move

KIA past president Gaurav Hegde told The Hindu the MCC decision was a welcome move for the small-scale industries. “As such, we do not generate domestic waste for which SWR was levied and the industrial waste goes for recycling. The State government should come out with a separate tax and cess structure for industries,” he said. Following the Mysuru rate structure at least gives a breather to industrial units, he added.

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