Laxmi Capital News
Local chamber opposes tax hike by Bharatpur metropolis

Businesscommunity of Chitwan have protested rise in tax rates and other fees byBharatpur Metropolitan City. 

The tax rates levied by the metropolis is highestcompared to four metropolitan cities of the country, local business leaders andindustrialists say. 

Chitwan Chamber of Commerce and Industry (CCCI), onTuesday, submitted a memorandum to the Office of the Municipal Executive,Bharatpur Metropolitan Office, drawing the attention of the municipal officialstoward tax rate hike.

“Hike in tax rates discourages business and economicactivities in the metropolis,” Sahan Pradhan, president of CCCI, toldRepublica. “Tax rates of other four metropolitan cities - Birgunj, Biratnagar,Lalitpur and Pokhara-Lekhnath are more or less at the same level.

But the new tax rates introduced recently by BharatpurMunicipality are much higher.”
Bharatpur Metropolitan City introduced the new tax rates by endorsing theFinancial Act from the Municipal Executive meeting in January. Tax rates havebeen hiked by up to 20 times.

CCCI has also submitted comparative tax rates of all fivemetropolitan cities to the Office of the Municipal Executive, BharatpurMetropolitan Office.

RenuDahal is the Mayor of Bharatpur Metropolitan City.

Office of the Municipal Executive, Bharatpur MetropolitanOffice, has increased registration fee for applications from Rs 10 to Rs 25,while fee for getting relationship certificate has been increased to Rs 100from existing Rs 25. 

Similarly, fee for registration of gold and silver shopshas been increased to Rs 25,000 (for A category) and Rs 15,000 (for B category)from the Rs 1,008. The business tax for running a restaurant and hotel has beenincreased from Rs 1,500 to Rs 125,000. Earlier, such rates were in range of Rs500 to Rs 12,000 only. 

Likewise, the metropolis has also hiked the fees forservices like getting certificates of family details, certifying birth dates,issuing character certificates, fee for connection of drinking water lines, andownership transfer. Fee for all of these services has been increased to Rs 575from Rs 190. 

This is the first time that local bodies have endorsedtheir own laws and set the fees.
Bharatpur Metropolitan City has defended the decision to hike tax rates,stating that the metropolis needs for resources to 'strengthen its financialstatus'.

CCCI have also said that the Act has no clarity onsegregating villages and towns in respect to levying taxes. 

Meanwhile, officials of metropolis manhandledjournalists, who had reached the Bharatpur Metropolitan City Office, to coverthe memorandum handover program.

Source : My Republica, 28thMarch 2018

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