Local Body Tax is not likely to be implemented in Mumbai this year with chief minister Prithviraj Chavan indicating that the law would not be passed without consensus.
In response to a calling attention motion in the state assembly, Chavan admitted that the October 1 deadline would not be met for the city as it required an amendment to be passed by the state legislature and that process had not been completed.
In face of demands that LBT be withdrawn Chavan, however, refused any kind of rollback adding that Mumbai was probably the only city in the world to have a regressive tax regime.
“I have set up two committees, one to look into improvements in the existing law implemented across 25 civic bodies and one for Mumbai to look at what kind of law should be passed. The committee will study if laws implemented in other states are practical. It is clear that the October 1 deadline will not be met. There has to be consensus,” Chavan said.
Later, he said the committee would be open to hearing all representations and a consensus would be reached on the amendment.