Maharashtra Chief Minister Prithviraj Chavan today asked the Mayors in the state to consult local traders on an alternative to the controversial Local Body Tax, so that the government can take a decision during the ongoing monsoon session of the Legislature.
Traders are opposing the LBT, which was brought in to replace octroi. Chavan today addressed a meeting of Mayors on the issue.
"The government is committed to ensuring that autonomy of the civic bodies remains intact. The Mayors should tell the government whether we should revert to octroi or hand over the recovery of LBT to the sales tax department. With LBT, revenue of civic bodies increased, but there were some hiccups in the implementation of the new tax," he said.
The CM however made it clear that rejection of both LBT and octroi can not be accepted.
The monsoon session is to end this week.
