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UP Government Issues Directions For Utilisation Of Tax Collected From Industrial Areas Under Zila Panchayats
LUCKNOW || In order to resolve the issue of double taxation in industrial areas falling inside the limits of Zila Panchayats and utilisation of such tax or usage charges, Uttar Pradesh government has issued directions to all Divisional Commissioners and District Magistrates to ensure that 60% of amount thus collected in the form of tax or maintenance charges must be utilised in maintenance and development of public utilities inside such industrial areas, an official said on Friday.
Remaining 40% amount will be utilised in development of Zila Panchayat area outside the industrial area. Chief Minister Yogi Adityanath had recently directed to resolve the issue soon by ensuring just and transparent utilisation of tax for the maintenance of facilities in industrial areas.
The said issue was raised by representatives of industrial associations in the high-level empowered committee meeting of ‘Invest UP’ that was chaired by Yogi on Sept 21.
The directions have been issued through a Government Order by Additional Chief Secretary - Panchayati Raj department. The order mandates formation of Committees under the chairmanship of Divisional Commissioners for ensuring the implementation of aforesaid provision regarding utilisation of 60% of tax for internal development and maintenance of industrial areas located inside the Zila Panchayats.
The committee will consist of the concerned District Magistrate, Regional Manager of U.P. State Industrial Development Authority (UPSIDA) as members and Additional Chief Officer of related Zila Panchayat as member-secretary.
It has also been directed to deposit the tax or maintenance charges collected from industrial areas falling under Zila Panchayats in a separate account.
60% of tax or maintenance charges collected from Industrial areas falling under Zila Panchayats to be utilised in maintenance and development of public utilities in such industrial areas
Tax collected from such industrial areas to be deposited in a separate account
Division level committees formed to ensure proper utilisation of tax collected from industrial areas under Zila Panchayats
Additional Chief Secretary, Infrastructure & Industrial Development, Alok Kumar said that it was a long pending demand of industrial associations, which has been resolved through intervention of the CM. He further informed that the Industrial Development department had proposed the above provision to Panchayati Raj department.
He said, “Utilisation of tax amount in the same industrial area, in which the tax is collected, would result in higher tax compliance and more funds would be available for development and maintenance of industrial areas”.
Kumar added that the State government’s direction to deposit the tax and maintenance charges in a separate account would ensure transparency and timely utilisation of funds for providing public utilities in industrial areas located inside Zila Panchayat area, particularly in industrial areas of U.P. State Industrial Development Authority (UPSIDA).