22-03-2023: Federation of Industries Jammu strongly advocates the demand for the Exemption to the Industrial Sector of J & K from the preview of Property Tax keeping in mind the thousand of MSME Units already working on the Private Land prior to the Notification issued by J & K Housing & Urban Development Department on 21.02-2023 by the virtue of which the Property Tax shall be imposed w.e.f.01-04-2023 in the Union Territory of Jammu & Kashmir in the areas falling under the jurisdiction of Municipal Corporations and Municipal Committees.
J&K Industrial Units Seek Exemption from Property Tax: FOIJ's Advocacy
While highlighting the issue, Sh. Lalit Mahajan Chairman Federation of Industries Jammu submitted that FOIJ has already submitted the suggestions to Housing & Urban Development Department in response to the Notice issued to General Public dated 10-03-2023 with the justification of Exemption to working Industrial Units on the private land from the preview of Property Tax.
During the course of discussions with the Jammu Municipal Commissioner a few days back, it has been brought to our Notice that the Industrial Units working in the Notified Industrial Areas of J & K SIDCO and SICOP not falling under the preview of Property Tax whereas the Industrial Units working or to be established on private Land falling under the Jurisdiction of Municipal Corporations and Municipal Committees of Union Territory of J & K falling under the category for the imposition of Property Tax.
It is pertinent to mention here that prior to the notification of Property Tax issued on 21.02-2023, thousands of MSME Units, duly registered with the Industries Department, working on the private Land adjoining to the Existing Industrial Estates and other areas having all the requisite permissions from the various Govt. Departments and providing employment to thousands of local residents of J & K State and it is unjustified on the part of Govt. to impose Property Tax on such Industrial Units and we fear that in case the Property Tax is imposed on such Industrial Units, the Unit Holders have no option but to close down their units resulting retrenchment of thousands of Industrial Workers in near future.
We wish to draw the kind attention of Hon’ble Lt. Governor Sh. Manoj Sinha that, to attract new Investment in the Industrial Sector of J & K, Govt. of India notified the Central package of the Incentive Scheme 2021 in Feb 2021 resulting massive Investment proposal in the Industrial Sector received by the Industries Department but due to non-availability of Land in Notified Industrial Areas of J & K SIDCO and SICOP some relaxations has been given for the Establishment of Industrial Units on Private Land by the change in
the Land Use as per the Notification issued by the Revenue Department and if the Property Tax to be imposed on the new Units being established on the private land within the Municipal Limits, an additional burden shall be put on the prospective Investors.
We request Hon’ble Lt. Governor Sh. Manoj Sinha for his kind intervention into the matter with the requisite amendment into the notification for the Exemption to working Industrial Units of J&K on Private Land from the preview of Property Tax which will provide great relief to the existing as well as prospective Investors.
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