Punjab decides to abolish octroi from Sept one

Chandigarh, June 26 (UNI) The Punjab governemnt today decided to abolish octroi on all goods except electricity, liquor and petroleum products with effect from September one this year.

In a meeting held under the chairmanship of Chief Minister Capt Amarinder Singh, the Cabinet decided to abolish water and sewerage charges payable by households owning residential houses up to five marlas in all Municipal towns of the state. This decision would be operative with immediate effect and involves a sacrifice of Rs 195 crore by Municipal Councils (MCs).

A spokesman of the government said that this would involve a sacrifice of Rs 550 crore, which would be offset through segregation of VAT revenue into a Municipal Development Fund.

The Department would ensure that the present level of revenue from octroi of all the MCs in the state was protected and they also get an annual enhancement on the basis of increase in revenue. All the urban local bodies would remove about 500 octroi posts in the state from September one this year.

UNI HS DP SRS MSJ BD1459