State Govt passes Bill to boost investment

The West Bengal Municipal (fourth amendment) Bill 2015 was passed in the Assembly on Monday where the time period of tax benefit to Information Technology Industry and Information Technology Enabled Services (IT and ITes) companies has been extended from five years to 11 years.

Unit Area Assessment system of valuation for the purpose of property tax will also be introduced at the industrial townships of Nabadiganta, Kalyani, Bantala and Durgapur, it was said.

Previously, the time frame for providing tax benefit for the IT and ITES companies was five years. Now, six more years has been extended to the IT and ITES companies for providing tax to the state government.

While placing the Bill, Firhad Hakim, state urban development and municipal affairs minister said that the decision has been taken in order to give some benefit to IT and ITES companies so that they could set up their unit in the state.

The Bill mentions that the final base unit area value of land comprising building or any vacant land or covered space of building or portion thereof, shall remain in force for a period of five years from the date of publication of the scheme, if not directed by the state government otherwise.

The Bill also mentions the time period and modalities of exemption from payment of the property tax on any land or building, which is exclusively used for Information Technology Industry or Information Technology Enabled Services.

Also, they can enjoy higher floor area ratio, the Bill mentioned. It also mentions that the unit area assessment system of valuation for the purpose of property tax will be included in industrial townships.