NAGPUR: With 20 days left
to register under the local body tax (LBT), only 245 of the expected one
lakh traders or bodies have submitted registration forms with the Nagpur Municipal Corporation
(NMC). Interestingly, the civic body itself has to register under the
new indirect tax system, but is yet to complete the formality.

According to provisions in the Maharashtra Municipal Corporations (MMC)
Act, NMC will have to register and get a registration number under LBT.
Besides, all government departments, including divisional
commissionerate, collectorate, police department etc have to ensure
registration under LBT. However, NMC and government departments have
been exempted from paying LBT.

The exemption has not been extended to government undertakings like MSEDCL, Mahagenco, MSRDC, VIDC, WCL, MOIL
etc. These public sector undertakings will have to register and also
pay LBT cess if they import any goods and materials. Similarly, Nagpur
Improvement Trust (NIT) will have to register and also pay LBT.

According to NMC data, 245 traders have submitted registration forms
till date. NMC has expedited the process to spread awareness among
traders and other persons about registration. NMC’s zone-level teams are
going to shops and distributing registration forms. Some 30,000
registration forms had been distributed till Saturday.

The last
date for registration is April 28. NMC will recover 10 times penalty if
it finds any trader not registered under LBT. Besides, registered
persons have to ensure payment of LBT cess on or before May 10 followed
by the 10th of every month or be liable to pay 10 times penalty.

Municipal commissioner Shyam Wardhane and additional deputy municipal commissioner Ravindra Kumbhare are reviewing registrations and also discussing the process with various traders’ bodies.

NMC assistant commissioner (LBT) Mahesh Dhamecha told TOI the
registration numbers will be issued after April 10. “Expression of
interest for inviting interested agencies to prepare registration
software and also operate entire process has been floated. Total 21
parties purchased the tender forms. The bids will be opened on April 8,”
he said.

Dhamecha added that some traders organization have
showed positive approach towards LBT. “Nagpur Agro Dealers Association
has invited us to guide its members. A workshop was specially conducted
for them. Besides, transporters association executive members came to
the office and took details. NMC is ready to conduct workshops to guide
traders and clear misunderstandings about LBT,” he said.