Industrial units in Taloja MIDC protest against PMC’s retrospective tax notices, citing double taxation and policy violation | Representational Image
Navi Mumbai: Industrial units operating within the Taloja MIDC area have raised serious concerns over what they term as unlawful and financially burdensome double taxation, following recent notices from the Panvel Municipal Corporation (PMC) demanding property tax payments retrospectively from 2016 to 2024.
Taloja MIDC, a notified industrial zone established under the Maharashtra Industrial Development Corporation (MIDC), was developed with the clear assurance that no municipal body would exercise jurisdiction within its boundaries. This understanding has been reiterated in multiple industrial policies issued by the Government of Maharashtra, which recognize MIDC as the sole authority to impose levies or charges in the area.
However, for the first time in 2024, PMC has issued notices to industries within Taloja MIDC, demanding substantial property tax arrears. Industrial stakeholders argue that these demands are unlawful, as PMC has no legal authority to levy taxes in an MIDC-governed area. The move is being perceived as a direct violation of the foundational commitments on which businesses in the region were set up.
In a development that has further alarmed industrialists, PMC tax recovery personnel have begun visiting plot holders, serving notices, and allegedly threatening property seizure. The aggressive nature of these recovery efforts has caused deep unease within the business community, with some questioning the long-term viability of operations in the region, a statement released by Taloja MIDC CETP cooperative society, stated.
Adding to the distress is the issue of double taxation. Industries in Taloja MIDC claim they are already paying MIDC for services such as water supply, fire safety, drainage, and roads. Now, with PMC’s parallel demands, they are being asked to pay twice for the same services—creating financial strain at a time when global economic conditions are already challenging.
“This move undermines the very essence of the ‘Ease of Doing Business’ and ‘Make in India’ initiatives championed by our Hon’ble Prime Minister. The sustainability and competitiveness of industries in the region are being put at serious risk,” said Sandeep Dongare, Vice President of Taloja MIDC CETP cooperative society.
Industrial associations have called on the Maharashtra Government to step in and honor its previous commitments by halting what they describe as ‘arbitrary and coercive taxation under duress.’
While reaffirming their commitment to Maharashtra’s economic progress, industries in the Taloja MIDC region have emphasized the need for a fair and consistent policy environment—free from unexpected financial burdens that could jeopardize their survival and growth.