The state government has increased non-residential taxes in non-residential areas by up to three times.
Subhash Patwari, president of Bihar Chamber of Commerce and Industries, said that the unexpected increase in taxes in this sector is not at all practical on the ground. The state government should review it.
“We are getting information from industrialists as well as other industrial organizations regarding increase in non-residential taxes. Due to this, all the entrepreneurs and businessmen of the state are facing problems. The number of small businessmen in the state is very high and they are engaged in business for their livelihood,” Patwari said.
“It is not fair to put such an additional financial burden on them. The government is already collecting various taxes from entrepreneurs and traders in the form of GST, Professional Tax, Income Tax, EPFO, ESIC, Pollution etc. Despite this, the unexpected increase in non-residential property tax has placed additional financial burden on them. This will discourage the businessmen of the state and will have an adverse impact on the revenue of the state. We have given a memorandum earlier also but no one paid attention to it,” said Patwari.
He said that if it is very necessary to increase then this increase should be made up to a maximum of 10 percent.
The state government has created 11 categories of business establishments, where the tax has been increased.
At present, hotels, bars, health clubs, gyms, clubs and marriage halls have to pay three times the annual tax as compared to the previous tax.
Shops, showrooms, shopping malls, cinema halls, multiplexes, hospitals, laboratories, restaurants and guest houses with an area of more than 250 square feet will have to pay 1.5 times the tax annually.
Commercial offices, financial institutions, insurance company offices, banks, private hospitals and nursing homes are paying 2 times more tax.
Subhash Patwari, president of Bihar Chamber of Commerce and Industries, said that the unexpected increase in taxes in this sector is not at all practical on the ground. The state government should review it.
“We are getting information from industrialists as well as other industrial organizations regarding increase in non-residential taxes. Due to this, all the entrepreneurs and businessmen of the state are facing problems. The number of small businessmen in the state is very high and they are engaged in business for their livelihood,” Patwari said.
“It is not fair to put such an additional financial burden on them. The government is already collecting various taxes from entrepreneurs and traders in the form of GST, Professional Tax, Income Tax, EPFO, ESIC, Pollution etc. Despite this, the unexpected increase in non-residential property tax has placed additional financial burden on them. This will discourage the businessmen of the state and will have an adverse impact on the revenue of the state. We have given a memorandum earlier also but no one paid attention to it,” said Patwari.
He said that if it is very necessary to increase then this increase should be made up to a maximum of 10 percent.
The state government has created 11 categories of business establishments, where the tax has been increased.
At present, hotels, bars, health clubs, gyms, clubs and marriage halls have to pay three times the annual tax as compared to the previous tax.
Shops, showrooms, shopping malls, cinema halls, multiplexes, hospitals, laboratories, restaurants and guest houses with an area of more than 250 square feet will have to pay 1.5 times the tax annually.
Commercial offices, financial institutions, insurance company offices, banks, private hospitals and nursing homes are paying 2 times more tax.
