The Times of India             26.06.2013

Notices issued to 2,300 traders for not paying Local Body Tax

PUNE: The Pune Municipal Corporation (PMC) has issued show-cause notices to over 2,300 traders who have not paid the Local Body Tax (LBT), said VilasKanade, head of the civic LBT department.

Kanade was speaking at the general body meeting held on Tuesday. He said the administration would take action against these traders after they reply to the notices. "The traders have been asked to explain the details of their purchases and the reason why they have not paid LBT. Details of their octroi payments have also been sought," he said.

He said the details would reveal who was liable to pay the tax and who had failed to do so. The action against them would be taken accordingly.

The corporation has registered a threefold increase in the number of traders paying LBT, with more than 15,000 traders paying the tax for May, compared to 4,500 for April.

Traders had opposed the levy, which replaced octroi on April 1, and only a few had registered for it or even paid the tax in the first month of its implementation. It was only after the government met their demands that they called off their stir.

More than 68,000 traders have registered for LBT so far in the city. Those who don't import goods from other parts of the state or the city have been exempted from the levy.

The PMC has collected around Rs 181 crore as LBT from different sources in the last two months. Industries, liquor shops and oil companies are among those who have paid the tax, Kanade said. Payments have been made through demand drafts, cash, cheque and internet banking.

"The awareness about LBT has increased and more and more traders are coming forward to pay it. We expect more revenue in the coming months," Kanade said.