2,500 GIDC units oppose tax notices

Rajkot: The Jamnagar Municipal Corporation (JMC) has issued notices to units in the GIDC industrial estate phase I and phase III over outstanding tax dues since 2013.
The GIDC area had come under the jurisdiction of JMC in 2013.

However, the association of industrial units has asked its members to register protest against these tax due notice individually to municipal commissioner and has also called general board meeting to decide the further strategy.

This is an old issue and was raised by the GIDC estate association before the assembly election last year. But after assurance by Jamnagar collector and JMC, the protest by industrial units was called off.

There are nearly 2,500 units in GIDC phase II and III in Dared, most of which are engaged in brass parts manufacturing. These units recently got the notices from JMC to pay the outstanding tax bills.

Secretary of GIDC Plot and Shed Holders Association Dilip Chandaria said, “JMC has not provided us any facility. The basic facilities like roads, lights, drainage, sanitation is provided by GIDC and for that GIDC recovers the charges from us. Why then should we pay taxes to JMC that has not provided any service?”

“We have called a general body meeting of all the unit holders to decide the future strategy and if all agree we will start our protest,” he added.

According to JMC officials, nearly Rs 30 crore tax was due from the industrial units. The unit holders have demanded to use this tax collection for the development of industrial area if they are forced to pay.

JMC commissioner R B Barad said, “The standing committee decided to recover tax from GIDC estate and we are not concerned with what they pay to GIDC. They (industrial units) are under the corporation and that’s why they are liable to pay the tax. If they don’t pay tax, we will take action according to law.”