
Nashik civic body exempts telecom companies from paying realty tax for towers
However, the telcos will have to clear their dues until Dec 2024.
The civic body took this decision following the guidelines of the urban development department of state govt.
As per section 14 (3) of the Telecommunication Act, 2023, the telecommunication network installed at any property will not be considered part of property, nor will any property tax or duty be applicable to that property. Recently, the Centre expressed its disappointment with the civic bodies in various states for not implementing the Act.
Accordingly, the urban development department of state govt sent a letter to the civic bodies in February this year, asking them to not include mobile towers for property tax.
The civic administration subsequently tabled the proposal during a meeting of its general body and it was approved. According to the property tax department of the NMC, there are a total of 596 mobile towers across Nashik city, and the annual property tax demand from these mobile towers was Rs 7 crore.
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However, some telcom companies with mobile towers in the city have property tax dues of Rs 52.69 crore pending for the past few years.
Ajit Nikat, deputy commissioner (taxation) of municipal corporations, said, "We have exempted all the mobile towers in the city from paying property tax effective from Jan 2025. But they will have to pay the dues they have until Dec 2024. We have instructed the divisional officers from all six divisions of the civic body to collect the dues from the telecom companies concerned."
Another NMC official said although the mobile towers have been exempted from property tax, the civic body will lease its spaces to the telcom companies to install the towers. "This will help the NMC earn some revenue through leasing their properties for the setting up of mobile towers," the official said.
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