The tax, brought in to replace octroi, has faced stiff opposition from the shop-keepers and traders due to the complicated paperwork involved.
He also said that the government will create a conducive environment for diamond traders so as to woo back those who had shifted the base to the neighbouring Gujarat.
"I had a talk with diamond traders to find out why they shifted out of Mumbai. A few laws and pressurising by some people forced them out. They say if the government creates a better environment for trade, they will come back. The government will soon make the necessary changes," the CM said, without specifying who was "pressurising" the traders.