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This is an archive article published on February 22, 2024

Embassy restaurant, Naturals: Popular Connaught Place shops slapped with tax dues; some sealed

Owners alleged that the NDMC’s tax recovery cell reached the premises of different shops and asked them to either pay taxes worth crores within an hour or vacate in 15 minutes.

Connaught Place shops, Connaught Place stores, Connaught Place, Connaught Place delhi, delhi news, India news, Indian express, Indian express India news, Indian express IndiaPeople gather outside the Embassy Restaurant at CP on Wednesday. @NDTAofficial

The Embassy restaurant, Naturals ice-cream parlour, Bata, Reebok and OnePlus showrooms — popular eateries and shopping outlets in Connaught Place were in for a shock this week when officials of the New Delhi Municipal Council (NDMC) turned up at their premises to recover tax dues.

Naturals and Dr Jayna’s Dental Clinic were sealed on Wednesday.

Owners alleged that the NDMC’s tax recovery cell reached the premises of different shops and asked them to either pay taxes worth crores within an hour or vacate in 15 minutes.

A notice pasted by officials on the sealed properties read, “In compliance with the direction of Attachment u/s 102 of the NDMC Act 1994… the above-cited property/premises has been… sealed on 19.02.2024 in the presence of the representative/owner/occupier of the subject premises.”

When The Indian Express contacted the NDMC for a comment, an official said, “The process of recovery is initiated as per the due process of law — assessment orders were issued, demands confirmed and bills raised for payment of dues. No appeal was filed in court, thereby the demand attained finality… Recovery notices were issued, giving ample opportunity to pay outstanding dues but no dues have been realised… Failing this, the NDMC was constrained to initiate attachment of properties as a last resort.”
The New Delhi Traders’ Association (NDTA) said the new property tax being charged by the council is “irrational and arbitrary”.

An NDTA office-bearer claimed, “Bata and Reebok showrooms were asked to pay taxes through cheques on Monday… Dr Jayna’s Dental Clinic and Naturals were blocked. Officials also entered the Embassy Restaurant without prior permission.”

NDTA president Atul Bhargava said the due process for tax recovery has not been followed. “A few shops were sealed in E, D and L blocks in the Inner Circle and some other premises were sealed at Radial roads. Occupants were unduly forced to pay part/full cheques within an hour and then the premises were de-sealed… Some are still lying sealed as they could not pay at that time,” he said in a statement.

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“The NDTA demands that the council hold property tax camps to discuss cases of each property with owners and to arrive at a fair and mutually agreeable value,” he added.

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