Thiruvananthapuram: The city corporation appeal standing committee, which is in the midst of a controversy owing to the tax relief offered to Tejaswini building, has decided to reduce the tax for the UAE consulate office functioning in a building at Manacaud. BJP councillor Simi Jeothish who heads the committee has said that the finance standing committee had tried to dissuade the building owner from opting for an appeal, saying the committee itself can fix the tax at a lower rate. "It was even listed to be presented as finance standing committee's agenda in the council meeting held in February, but it was never read out as I raised objection before the meeting. Only the appeal standing committee has the power," she said.
When asked about the consulate issue, finance standing committee chairperson Rakhi Ravikumar said she would look into it. Simi said that the decision was taken as there was a letter from the state government to consider this as an office space, and not a commercial space, and fix taxes accordingly. If it is a commercial space, the rate would be Rs 150 per square feet, whereas an office space needs to remit Rs 80 per square feet. She said that the consulate office occupied less than 150 sq metres.
A corporation official working in the revenue section said that if part of a commercial building is used as office space, it would be given a sub-TC number, and the tax can be assessed separately for this space. The LDF has been demanding that Simi should resign, saying the committee's decisions had to be ratified in the council. Kochi corporation appeal standing committee chairperson K.V. P. Krishnakumar said that the committee has the power to offer tax relief, but there are limitations. "There are specific conditions under which a tax relief can be offered. In most cases, the committee does not get it ratified by the council. Ratification is sought in certain cases, especially when it can cause a big dent in the corporation's income," he says.
