Ludhiana News/Kular meets Sukhbir regarding mixed land use and industrial property tax

Ludhiana, November 22, 2013: Recently, Federation of Industrial & Commercial Organisations (FICO) president Gurmeet Singh Kular met the Deputy Chief Minister Sukhbir Singh Badal regarding mixed land use and industrial property tax.

In a statement here today, FICO president Gurmeet Singh Kular said they request the deputy chief minister to look into the matter with regard to industrial property tax and provide relief to industry as it is the bread earner of the state. Commercial rates should not be taken for industry and the percentage should be reduced. In focal Point sale rate of plots of PSIEC is Rs 7500 per square yard whereas Municipal Corporation is charging at Rs.11,400 per square yard for property tax.
Regarding mix land use area, as the Master Plan of Ludhiana is under revision, he apprised the deputy chief minister and requested that the areas which are not covered in master plan as industrial mix should be covered so that industry could work without fear. Areas like Gurpal Nagar, Shimlapuri, New Janta Nagar, Ishar Nagar, New Shimlapuri, etc should be added in the interest of public. 
About investment incentive, he said in the new industrial policy there is no tax benefit to the Micro, Small & Medium industries because the benefit, minimum eligibility of investment is Rs.10 crore.  “So our humble submission is that it should be reduced to Rs. 15 lac”, Kular demanded.
Regarding new focal point, he said after 1992 Punjab Government neither developed any focal point nor expansion of any focal point had been done. He suggested to develop the new focal point to expand the industries.     
Regarding VAT refund, he said as huge amount of VAT refund is blocked with department, refund should be online & it should be refunded within 30 days from the date of application otherwise interest at 18% per annum should be given. Besides it was demanded that there are so many refunds which are expired due to non -availability of funds that should also be released immediately with interest.  
On the issue of verification of 4th stage verification, there is no provision in the law whereas department is harassing and punishing for the crime which they have not committed. This is an only administrative order by the department which is to be abolished at the earliest.
Regarding power supply, he said there is very poor infrastructure of power supply. The government should ensure uninterruptable power supply to save the industries. In rainy season there are so many power failures and once feeder is tripped it takes so much time to restore.
Kular said VAT on cycle and cycle parts should be reduced to save the mother industries of Punjab because this industry is very low value addition. 
On VAT on diesel, Kular demanded that the government should allow Input Tax Credit on diesel for captive consumption for the industries.
The deputy chief minister was also requested that proper attention should be given to up-grade the infrastructure like roads, street lights and sewage system. Members of the associations should be appointed to monitor the ongoing work for proper quality check.   
They also sought attention of the deputy chief minister on freight equalisation issue.