The Telegraph
Since 1st March, 1999
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Traders fume over twin taxes

Jamshedpur, Sept. 2: A businessman running a unit in Adityapur industrial area has to shell out double tax — to the Adityapur Industrial Area Development Authority (Aiada) and the Adityapur Municipal Council (AMC) — for land and road maintenance.

Miffed with the double blow, members of the Singhbhum Chamber of Commerce and Industry have now sought to clear the jurisdiction areas of the two civic bodies from the Seraikela-Kharsawan district administration.

A trader working in the Adityapur area has to pay a maintenance tax and a levy to the Aiada and a holding tax to the AMC every year. “We have sought information from the district administration under the Right to Information (RTI) Act and are presently awaiting their response. The 800-odd industries based in the industrial belt are being made to pay double taxes to two service providers,” complained the vice-president (industry), Alok Choudhary.

Earlier, the industrial units were paying Rs 5,000 per year for each acre as land levy to the authority. The sum was scaled down to Rs 3,000 per acre per year in 2007 after protests. With that, a trader also has to shell out a maintenance charge to the authority that provides basic infrastructure facility in the region.

“Our members acknowledge the right of the Aiada that is the lone service provider in the area. But now the AMC has also jumped into the fray, as the district administration has not clarified the jurisdiction areas of the both agencies. Due to this confusion the entrepreneurs are being made to pay taxes to two authorities for similar kinds of facilities,” said chamber secretary Suresh Sonthalia. He also claimed that the Aiada and AMC were confused regarding the areas under their jurisdiction.

He alleged that many a time this confusion led to tussles between the two over the right to pass a map for new constructions in the Adityapur area. However, the urban development department finally gave the right to the Aiada.

“The AMC neither takes care of the electrical needs, nor the road maintenance work, however, it claims holding tax from us. Interestingly, Aiada allotted us the land for which we paid the government. We don’t now why we pay the AMC, though it pressurises us by sending notices on a regular interval,” added an industrialist.

The industrialists have also sought answers on the taxes that both the authorities collect from industrial units and homes in the residential areas at regular intervals.

Besides, it has requested the district administration to clarify certain points regarding the Adityapur-Kandra road that is the lifeline of the industrial belt.

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