Ludhiana News- CICU condemns variation of property tax rate between residential and industrial units

Ludhiana, October 8, 2013: Chamber of Industrial and Commercial Undertakings (CICU), Ludhiana Executive Committee held a meeting to discuss the Property Tax Issue, imposed by Municipal Corporation, Ludhiana.

Commenting on the variation of tax rate between residential property and industrial property, Avtar Singh, General Secretary and Upkar Singh Ahuja, Joint Secretary; stated that levying of property tax @ 3% on A.R.V on all sizes of industrial property as against the ½% - on below 500 square yards and 1% on above 500 square yards residential property; is totally unjustified.

They further said that besides facing stiff completion from the global market, Punjab Industry pays VAT at the highest rate in comparison to other States and electricity cost at too high rate. According to available information with www.cityairnews.com they added the Industry Sector plays an important role to contribute huge revenue collection for the State.  It also generates opportunities of employment for job seekers that prevent unrest amongst the youths.

So imposing of Property Tax @ 3% on Industrial Property is a partiality with the Industry as the size of Industrial Property; is but naturally to be; enough larger than of Residential Property sizes.

Apart from this Fire Cess @ 10% is also imposed on Industry which is also justified and thus should be removed.

They urged the Chief Minister, Punjab, Parkash Singh Badal and Deputy Chief Minister, Punjab, Sukhbir Singh Badal to personally look into matter and get the property tax rate revised on industrial property as equivalent to residential property taxes i.e. ½ % on below size of 500 square yards  & 1% on above 500 square yards size. Also Eliminate fire cess, they demanded. www.cityairnews.com