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Traders continue protest against LBT

Updated: Oct 18, 2013 02:50:38pm
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Mumbai, Oct 18 (KNN)  A retail traders' association in Maharashtra has protested against the Local Body Tax being imposed in the state by quoting the Constitution of India.
Bhartiya Udhami Avam Upbhokta Sangh in a memorandum has quoted Article 265 from the constitution of India which says, “Taxes not to be imposed save by Authority of Law- No tax shall be levied or collected except by authority of law.”
 
According to the association, the Ordinance issued on 31st August 2009 and Bill XXVII Maharashtra Act, 27 dated 24th December 2009 is without the previous sanction and also without approval under Article 286. 
 
“It is nothing but violation of our Constitution established by law.  The imposition of Local Body Tax is without the Authority of law under article -265, 286 and 304,” it said.
 
The Association has referred to various other sections of the constitution to make a strong case of its protest.
 
The Government abolished octroi from April-1 and imposed LBT in the state. While the tax has come into effect in Mumbai from October-1, it was already being implemented in Kolhapur, Sholapur and the Vasai-Virar Municipal areas.
 
Local Body Tax, popularly known as LBT, is the tax imposed by the local civic bodies of India on the entry of goods into a local area for consumption, use or sale.  The tax is to be paid by the trader to the civic bodies and the rules and regulations of these vary from state to state within India.
 
The tax supersedes the "octroi" and "Cess" system of taxing.  (KNN/ES)

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