Dharavi Redevelopment Project Offers Businesses SGST Refunds for 5 Years
IANS 26 February 2024
Eligible industries and commercial units in Mumbai's redeveloped Dharavi will be entitled to enjoy several benefits, including a refund of state goods & services tax (SGST) for five years, the Dharavi Redevelopment Project Pvt Ltd (DRPPL), a joint venture (JV) of Maharashtra and Adani group on Monday announced.
The tax concession would majorly help boost and formalise the local businesses and is part of the tender conditions and would be effective after the newly constructed buildings get the occupation certificate (OC) after the revamp project.
"The redevelopment will transform the informal nature of businesses in Dharavi and enable them to be a part of the India growth story. To support this transition, the state government has offered tax benefits, like the reimbursement of SGST," the DRPPL said.
They will provide the existing and new businesses in the refurbished Dharavi a robust footing, boost their profitability, make the businesses more competitive and give them manifold growth opportunities, it added.
As per the tender conditions, SGST for industrial and commercial units will be reimbursed by the state government’s finance department through the DRP/SRA for five years from the date of issuance of the OC.
Eligible industrial and commercial units will have to provide SGST payment details as proof while claiming the refund for five years.
Dharavi encompasses several thousand industrial and commercial units manufacturing garment and leather items and many are vendors for large national and international brands sold across the world, with turnover estimated to be in millions of dollars.
They are keen to formalise their businesses to expand and get a fillip, both locally and globally said the DRPPL.
"It is DRPPL’s endeavour to transform Dharavi into a globally-connected city with commercial and industrial premises, keeping its vibrant and unique entrepreneurial culture intact. Upgrading the lives of people of Dharavi, providing economic opportunities, a futuristic education and vocational training, advanced healthcare facilities and a quality lifestyle, all this will be enabled at Dharavi and Nav Dharavi," the redevelopment company said.
It added that there will also be community halls, recreational areas, public gardens, dispensaries, and daycare centres for children of Nav Dharavi, which will rise from what is now recognised as the biggest slum of Asia.
The DRPPL is a special purpose vehicle formed to revamp Dharavi with a ‘human-centric approach’, provide the existing residents with modern housing with all facilities, yet preserve their inherent entrepreneurial spirit.
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.
Free Helpline
Legal Credit