Criminal Trident Pack: IPC, CrPC and IEA by Sr. Adv. G.S Shukla and Adv. Raghav Arora
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(Querist) 07 September 2009 This query is : Resolved 
What is municipal corporation of Navi Mumbai cess and where is applicabale?riven
Manish Singh (Expert) 07 September 2009
cess is duty levied on persons. there are different kinds of cess applicable on person viz education cess, research and development cess etc.
please elaborate your query.riven
Manish Singh (Expert) 08 September 2009
Dear Mr. Kumar,
you jst replaced the original query whereas you should have written down an explanation separately.
go through the following which answers ur qury :

"The term 'Octroi' needs no introduction as almost everybody in our country is familiar with it. Octroi has been and is still a main source of revenue for most of the urban bodies in India. There has. however, been a persistent demand from a large section of the trading community across the county to abolish it due to certain inherent shortcomings of this system. First of all it is an obsolete method of tax collection. Secondly it involves stoppage of vehicles at the check posts outside the City limits, thereby obstructing a free flow of vehicular traffic. After an in-depth study by various Committees appointed with a view to finding a viable alternative, the Government of Maharashtra decided to try a novel account based system of levy of Cess in lieu of 'Octroi'. The Navi Mumbai Municipal Corporation was chosen consciously for the introduction of this system because of the existence of a large industrial belt and an organised trade and industry in Navi Mumbai. Another important contributory factor was that the area of this Corporation was hitherto an Octroi-free zone and, therefore, not being a case of switch over from an established system to a new one, the implementation thereof was expected to be without hiccups.

The Navi Mumbai Municipal Corporation (NMMC) has introduced in its area, an account based system of levy of Cess in lieu of Octroi, with effect from 1st day of June, 1996.

Cess is nothing but Octroi under different nomenclature.

In the new system there are no check posts i.e. 'Nakas' for collection of tax and, therefore, it involves no stoppage of vehicles. A 'dealer' liable to pay cess, on the basis of his exceeding the prescribed limit of the turnover either of all his sales or all purchases effected during a financial year is required to got himself registered with the Corporation.

Cess, like Octroi, is an entry tax in nature i.e. it is leviable on entry of goods into the area of this Corporation for the purpose of consumption, use or sale therein.

'dealer' is liable to pay cess if the turnover, either of all his sales or of all his purchases made during a financial year, exceeds the following limits.

Type of dealer Limit of turnover
A. "Importer'' [i.e. a dealer who brings goods or causes them to be brought, into the area of the Corporation] Rs. 75000/- including
i] import of goods the value of not less -than Rs.5000/-.
ii] purchases of taxable goods of the value of not less than Rs.5000/-
B. 'Others' [i.e. dealers who are effecting purchases from the dealers within the area of the Corporation]
including purchases of taxable goods of the value of not less than Rs.5000/-

pankaj Kumar (Querist) 09 September 2009
Thanks for ur valuable information.riven

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