Traders were consulted; LBT protests premature: Maha govt

Even as the LBT protests continue unabated, Maharashtra prinicipal secretary of urban development Shrikant Singh, speaking exclusively to CNBC-TV18's Ashmit Kumar, condemned the protests arguing that the decision to move from octroi to LBT had been taken after consultations with traders. The government also termed the protests as premature as the LBT willl only come into effect from October 1 in Mumbai.

Also Read: National traders' body seeks Centre's intervention
As far as implementation of the LBT is concerned, the government has adopted a conciliatory approach. It has in fact clearly specified that octroi needed to be abolished as it was an archaic tax. But the government has maintained that the financial autonomy of the local municipal bodies was to be respected.
The state-government also addressed traders’ concerns of the LBT ushering in an inspector raj of sorts, by highlights the numerous safeguards in place. Some of these include the approval of the principal secretary to conduct raids or surveys.  Regarding compliance, the government reiterated that the documents submitted for VAT would suffice. 
“The decision to implement the tax was taken after a long process of holding discussions with stake holders including all the traders and trade-organisations that are protesting today. The government has evidence of their participation in the entire process,” said Shrikant Singh.
Though the government has made it very clear that LBT will be implemented on October 1, it has expressed its willingness to consider traders' opinions and views on the tax. Meanwhile, CNBC-TV18 has learnt that traders from across Mumbai will assemble in a massive gathering later in the evening on Thursday.