The South Delhi Municipal Corporation (SDMC) gave nod for proposals for the imposition of a “professional tax” by the civic body on salaried individuals at workplaces in its jurisdiction and self-employed people. People gave mixed reactions to the civic body’s move.
In the new tax imposed, SDMC has come up with a proposal of three tax slabs for salaried individuals. The first slab includes those who earn a monthly income between Rs 50,000 to Rs 75,000 would be required to pay a sum of Rs 1200 a year. Whereas, those earning between Rs 75,000 to Rs 1 lakh have to pay an annual tax of Rs 1800. However, the civic body clearly states that those earning less than Rs 50,000 a month will not be required to pay any tax.
As recommended by the Delhi Finance Commission, the proposal of professional tax has been raised quite a few times by the municipal corporations earlier. However, SDMC gave a nod for the proposal for the first time.