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What is local body tax on property?
Local body tax is a tax levied by local civic bodies on the entry of goods into a local area’s (town, city or state) limits for consumption, use or sale therein by traders, businesses and manufacturers. It is an account-based cess collection for raw materials that are used or imported into the local area’s limits.
What is the tax of local civic body?
Local Body Tax, popularly known by its abbreviation as LBT, is the tax imposed by the local civic bodies of India on the entry of goods into a local area for consumption, use or sale therein.
What is local body tax in Maharashtra?
Local Body Tax (LBT) is a levy on “the entry of goods into a local area for consumption, use or sale therein”. This tax is imposed on traders by the local civic bodies of each city/town/area and are different in each place.
How is LBT calculated?
Rate of LBT are between 0.50% to 8% on the value of goods purchased for consumption or sold. By multiply the rate with respected net value of goods imported in the city, you can calculate LBT of each good. By total of tax of each good, you can find total tax liability.
How do I pay my Local Body Tax?
The tax must be paid by the trader via the online portals, demand draft, cheque or cash to the designated bank account or at the special counters that have been opened by the civic body. If the LBT paid goods are exported outside the city, 90% of the LBT paid can be refunded subject to certain conditions.
What is Local Body Tax in India?
Local body tax is a levy that traders will have to pay the local municipal corporation for importing goods into the state. LBT is an account-based cess collection for every raw material used or imported into the city’s limits by all businesses, traders and manufacturers.
Is LBT applicable in Maharashtra?
Answer: LBT is applicable in entire Maharashtra except Mumbai Corporation. Thus, LBT is applicable in Thane . Hence, if your Turnover of purchases or sales within Thane Municipal exceeds Rs.
When did LBT started in Maharashtra?
The LBT was introduced in the state in April 2013, replacing octroi in all municipal corporations except Mumbai. However, traders opposed it claiming it will burden them with unnecessary paperwork and lead to harassment at the hands of municipal inspectors who may take advantage of minor errors.
Is LBT applicable in Mumbai?
In Maharashtra presently L.B.T. is implemented in all the corporation except mumbai. In Navi Mumbai Corporation jurisdiction there was no octroi. However, cess (i.e. tax on entry of the goods in Local area for consumption, use or sale therein) was first introduced by state Government w.e.f. 01.06.
When did Pcmc abolish LBT?
Partial abolition of Local Body Tax (LBT) in Maharashtra w.e.f 01-08-2015.
Is LBT applicable in Pune?
As per the Government of Maharashtra Notification bearing No. LBT-2013/22/UD-32, dated 25/02/2013, the government has directed Pune Municipal Corporation to collect Local Body Tax instead of Octroi in its jurisdiction from 01.04. 2013 on the goods to be imported for use, sale and consumption.