DCCI calls off indefinite shutter down agitation

Morung Express News
Dimapur | April 29

The Dimapur Chamber of Commerce and Industry (DCCI) called off the ‘indefinite shutter down’ agitation against multiple taxations on businesses. DCCI President Akashe Zhimomi made the announcement at a press conference in Dimapur on April 29. At the press conference was also the President of the Naga Council Dimapur, Etsungmomo Kikon and Dimapur Urban Council Chairmen Federation President, Zasivikho Zakiesato. Business will resume on April 30. 

The move by the DCCI came subsequent to the Deputy Chief Minister, Y Patton’s press conference, in Kohima, where Patton assured of the state government leaving no stone unturned to curb illegal activities. 

According to the DCCI President, the agitation was called off on account of the state government responding positively to its 5 points charter of demands addressed to the Chief Minister on April 27. Zhimomi said that the DCCI met the Dimapur Deputy Commissioner, who informed them of the government responding “in black and white” to its demands. While extending appreciation to the public for bearing with the inconvenience caused, he said that the agitation was for a genuine cause. “Our agitation is against multiple taxations. There is no other purpose nor against any individual,” he added. 

On illicit collection by unions, Zhimomi said that the DCCI has made its stand clear on this. He maintained that if any union is found involved, such unions should be proscribed and the people involved prosecuted. 

Vice President, V Shikuto Sema said that the government has not addressed all the grievances of the business community but added that the DCCI was appreciative of the assurance from the government, including “extra security” for Dimapur district. “We will be monitoring how the security assured will turn out,” he said. 

Queried on multiple taxations, he said that it implies one item being taxed multiple times over and above the statutory GST. He reiterated, “We are only against multiple taxations, otherwise we are not against any factions (Naga political Groups).”

In addition to multiple taxations by multiple groups, abduction of business persons for ransom was a big menace in Dimapur. Queried on this, Sema replied that there has been a relative reduction in incidents of abduction in recent years. 

He added that the CNCCI was also informed of the DCCI decision to call off the agitation.

What’s multiple taxation? 
A businessman in Dimapur was asked to explain and contextualise multiple taxations. According to him, multiple taxations come in various forms. “There are three types, actually. One takes a linear trail starting from the transporter to retailer. First, there is the transport/truck tax when a commodity enters the state or Dimapur. It will be followed by a ‘godown tax’ when the item reaches the warehouse, which is often run by the transporter. It will then be followed by ‘wholesale tax’ and ‘retail tax’ before it is ultimately sold to the consumer. One item is taxed at each stage and this is in addition to the annual tax,” he said. 

Another form is when one shop is imposed an annual tax by multiple different groups. While the smaller groups charge one ‘annual tax’ a year, he said that around 6-7 of the bigger groups charge other taxes that include ‘shop registration tax, MRP tax and a godown tax’ for retail shops which store their goods in the shop itself. 

A third type of taxation comes in the form of illegal monopoly, known locally as “syndicate system,” which actually is a misnomer. Here, a businessman or firm holding monopoly over an item would charge “commission” on any trader trading in the monopolised item. It also includes procuring the item from the one holding the monopoly.