Wednesday 31 August 2016

Nagaland's Extortion disease: Passengers allege 'new form of taxation'

Our Kohima correspondent

Passengers of a Tata Sumo en route to Dimapur from Philimi village have alleged of a ‘new form of illegal tax collection’ at the Kohima Municipal Council (KMC) tax collection counter located at the High Court Junction at Meriema, in Kohima district, on August 29.

Terming the "tax" a "passengers luggage tax", a passenger of the taxi, in a complaint made in the social media, said that the vehicle stopped at the KMC tax booth for the usual toll tax.

However, the passenger claimed he was surprised when for the 'first time in his life', the tax collector asked him to pay Rs 60 for three luggage. Initially, he refused but on persuasion by other passengers and driver, he reluctantly paid Rs 50 as tax for his luggage and a receipt was issued against the same.

Stating that none of the passengers were businesspeople but students, church workers, and an old lady carrying rations such as rice, tuber, chili, potatoes and some other vegetables for consumption, the passenger said ‘the tax of Rs 50 in this case was illegal, forceful and extortion’.
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He questioned why mere passengers travelling by taxi should be taxed.

While appreciating KMC for their effort in making Kohima a citizen-friendly capital, the aggrieved passenger requested the authority in concern not to be silent but to address the matter.

When contacted, KMC's administrator, Kovi Meyase, said an inquiry has been ordered in this regard. Also, on interrogation with the collector, it was found out that the taxi was stopped to pay for the normal ‘
tax / octroi tax’ of Rs 10.

However, he said on seeing the hood of the vehicle fully loaded with vegetables and other goods, the collector inquired of the passengers if they possessed import permits from the KMC ‘for entry of goods into a local area for consumption' and 'use of sale’.

When the passenger replied in the negative, it was informed that the collector asked the driver to tell the passenger to pay Rs 50. The existing KMC rate is 20 per bag and the actual amount to be levied from passengers would be Rs 180-200 in total.

In this regard, Meyase clarified that the tax levied on the passenger was not for his luggage but against the goods that was on the vehicle. He also stated that there was no such thing as ‘luggage tax.’ He, however, pointed out that octroi tax was being collected from every commercial vehicle and taxi as per the directives of the government.

‘Entry tax/octroi is the tax imposed by local civic bodies of India for entry of goods into a local area 'for consumption' or 'use of sale.'

(Al Ngullie, August 31, 2016; Eastern Mirror)