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PSPCL refutes Mohali MC’s claim of ₹15 crore pending power tax

The Punjab State Power Corporation Limited (PSPCL) has contested the Mohali municipal corporation’s claim seeking clearance of pending tax on electricity to the tune of over 15 crore

Published on: Oct 20, 2022, 01:33:36 IST
By , Mohali
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The Punjab State Power Corporation Limited (PSPCL) has contested the Mohali municipal corporation’s claim seeking clearance of pending tax on electricity to the tune of over 15 crore.

According to Mohali MC officials, PSPCL owes the civic body  ₹6.43 crore tax till March 2021, and is yet to clear dues starting from the 2021-22 fiscal till date (HT File)
According to Mohali MC officials, PSPCL owes the civic body ₹6.43 crore tax till March 2021, and is yet to clear dues starting from the 2021-22 fiscal till date (HT File)

Municipal corporations in the state levy 2% municipal tax on consumption, use or sale of electricity within city limits.

According to MC officials, PSPCL owes the civic body 6.43 crore tax till March 2021, and is yet to clear dues starting from the 2021-22 fiscal till date.

MC commissioner has also requested PSPCL authorities to clear power tax for Sectors 76 to 80 from November 22, 2017 to September 30, 2022 (five years).

“They owe us over 15 crore. They should have cleared dues when they receive payment from consumers. We also have our expenditures and the city to look after, but they are not paying heed to our requests,” a senior MC official said.

MC commissioner has in multiple written communiqués requested Baldev Singh Sran, chairman/managing director, PSPCL, to direct the finance department to clear the dues.

Reverting to the latest request made by MC commissioner Navjot Kaur earlier this month, PSPCL officials claimed they have paid all outstanding dues. “According to our accounts, we have paid all dues, but if there is any outstanding amount according to them, we have asked that a meeting be held for reconciliation of bills,” a senior PSPCL official said on condition of anonymity.

The official added that MC had levied tax on bills for water supply connections in January and February, which needs to be discussed.

Commenting on the demand of clearance of five years’ power tax for Sectors 76 to 80, a senior PSPCL official said, “We will clear the air on those dues too in the meeting, as according to our accounts, we are not liable to pay anything. We will tally accounts and hold a detailed meeting with MC officials soon.”

  • Nikhil Sharma
    ABOUT THE AUTHOR
    Nikhil Sharma

    Nikhil Sharma is a staff reporter who covers Faridkot district in the Mansa region of Punjab.