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Wednesday, August 04, 2021

Small scale industries urge PCMC to rescind Rs 259 crore tax notice to Tata Motors

A few weeks ago, the property tax department of the civic body had accused the automobile giant of not allowing its personnel to enter the firm's premises to assess the correct amount of property tax to be levied.

By: Express News Service | Pune |
Updated: July 15, 2021 10:01:08 am
In a memorandum submitted to the commissioner, Rajesh Patil, the Association said the civic body should not create an atmosphere which would force industries to relocate to other places. (File)

The Pimpri-Chinchwad Small and Medium Scale Industries Association has urged the Municipal Commissioner to rescind its notice to the automotive giant, Tata Motors, about non-payment of property tax.

In a memorandum submitted to the commissioner, Rajesh Patil, the Association said the civic body should not create an atmosphere which would force industries to relocate to other places.

A few weeks ago, the property tax department of the civic body had accused the automobile giant of not allowing its personnel to enter the firm’s premises to assess the correct amount of property tax to be levied. The civic body had gone ahead and slapped a notice of Rs 259 crore for undeclared constructions on its premises. The company has denied all allegations levied against them.

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The delegation, which saw Sandeep Belsare, president and secretary, Jayant Kad, urged the commissioner to take steps which would allow for development of industries.

Tata Motors, they pointed out, had established its plant in 1960s, when the civic body was just a collection of villages. The automobile giant was instrumental in urbanisation of the area and development of Pimpri-Chinchwad as an industrial township.

Pimpri-Chinchwad, Belsare and others said, has 10,000-12,000 small and medium scale industries of which 60 per cent are dependent on Tata Motors. The giant on its own employees 3,000 people. Vendors, sub vendors and the employees pay property tax and other taxes to the corporation. So, this sector is a major revenue source for the corporation.

Any move to destabilise the industrial atmosphere of the township, the Association said, will have a devastating effect here. This action on Tata Motors can send out wrong signals to other industries and can lead to migration of other corporate giants from here. PCMC has given 21 days to the Tata Motors to answer to their notice. “We urge you to rescind the notice- this would be the right thing to do,” they said.

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