The delegation led by CA Julfesh Shah, Core Committee member of Chamber of Small Industry Associations (COSIA) met Shri Subhash Desai, Hon. Minister of Industries, Govt. of Maharashtra & apprised him of the various issues faced by the industries in the Vidarbha region & submitted a memorandum. The significant points of the memorandum includes the ready reckoner rates prescribed by the GoM for payment of stamp duty on the transactions of sale / purchase of immovable, which in many cases, is higher than the market value or the saleable value of the property.
This ready reckoner value is also considered for calculation of income tax liability on the buyer and seller. Hence the buyers and sellers are put to unnecessary hardship due to higher ready reckoner rates. It is strongly pleaded that the ready reckoner value be rationalized, since it affects the liability under other laws.
Further for land including industrial land, the rate of which is regulated by the MIDC or another Govt. authority, ready reckoner value should be equal to the prescribed Govt./ MIDC rate. Also Gram Panchayat or local body property tax should be abolished as it leads to double taxation. This shall help in avoiding the hardship in purchasing the land in industrial area and any other place.
The memorandum also stated that the supply to PSUs or Corporate sector by MSMEs (25% statutory) should be on RCM basis. This will avoid blockage of MSME funds to revenue dept. It should be mandatory on PSUs/ Corporate Sector to reflect the Penal interest amount payable to MSMEs in their books of account if the payment is delayed beyond stipulated period of 45 days. Term Loan repayment period should be relaxed and at a subsidised rate. Implementing Innovation that optimizes fund flow of MSME should be encouraged.
The Minister assured the delegation to take needful action for resolving the issues & appreciated the working of the COSIA, Vidarbha Chapter. Core Committee members Mr. Pranav Ambaselkar, Mr. Sunil Jejani were present on the occasion.