Hawk Eye on illegal Hawkers

Before going to Mamata Banerjee’s meeting at Rabindra Sarovar Stadium on 13^th March 2015 hawkers feared a crackdown on hem regarding New Market Bandh, but after the meeting they were ecstatic as Mamata Banerjee announced plethora of freebees for them!!

Mamata Banerjee announced these for approximately three lakhs hawkers in the city

1. Issuance of legitimate trade license

2. Rs 10000 medical expenses every year

3. Accident cover of Rs. 50000

4. With a deposit of Rs 30 (one time) they will be entitled to a pension of Rs 2.5 lakh on turning 60!!

The icing to the cake was added by Mr Watermelon, by declaring that they won't be evicted from city pavements and roads.

The registration process will start from July 15, once the civic polls are over, and the hawkers are expected to get their ID cards and trade licences by next April, just ahead of the assembly polls. The CM directed state municipal affairs secretary B P Gopalika to open designated counters at KMC offices and municipalities for the registration.

Certificate of Enlistment (CE) is the official term used by Kolkata Municipal Corporation, which is popularly known as Trade License. According to the second point of GENERAL PROCEDURE FOR ISSUING NEW CERTIFICATE OF ENLISTMENT on KMC website – the Application Form duly filled in, along with K.MC. Property Tax Receipt and other supporting document as a proof of occupancy/ownership of the business place to be submitted to the Licence Department. Proof for places of business requires either of the following documents:

(a) If owned by petitioner, tax bill to be produced;

(b) If a tenant, rent bill to be produced;

(c) If a lessee, lease-deed to be produced;

(d) If relative/person granted rent free accommodation by the premises owner, consent letter from the owner to be produced;

(e) If a person is granted rent free accommodation by any bonafied tenant, consent letter along with the current CE of the tenant to be produces;

(f) If a sub-tenant, consent of the premises owner will also to be produced along with documents viz. rent bill, current CE etc. of original tenant.

(g)Besides License Department Officials may also issue CE on spot if any trade/profession/calling is carried out without obtaining trade license.

So, to obtain a Trade license either of the documents listed above is required. How can a street hawker provide any such documents? Even the Civic bosses, wondered how they could issue trade licences without permanent addresses. "We issue trade licences only against permanent addresses. Hawkers don't have permanent shops. How can we issue them trade licences," said a KMC official to TOI correspondent.

"Don't hawk in front of shops and damage business. Don't encroach carriage ways, and leave a portion of pavements for pedestrians," the CM appealed. Maybe government is talking about point (g).So we did a detailed search of the KMC Trade License Fees chart. While going through the Trade License fees chart we only found the following heads of mobile or temporary in nature for which trade license are issued:

1.       MOBILE OUTLET (3-WHEELER) OF NON FOOD ITEMS (SHOULD HAVE SEPARATE OFFICE/FACTORY PREMISES)

2.       MOBILE OUTLET (3-WHEELER) OF FOOD ITEMS (SHOULD HAVE SEPARATE OFFICE/FACTORY PREMISES)

3.       MOBILE OUTLET (4-WHEELER) OF NON FOOD ITEMS (SHOULD HAVE SEPARATE OFFICE/FACTORY PREMISES)

4.       MOBILE OUTLET (4-WHEELER) OF FOOD ITEMS (SHOULD HAVE SEPARATE OFFICE/FACTORY PREMISES)

5.       KIOSK/STALL OF NON FOOD ITEMS (IN SEPARATE IDENTIFIED CAMPUS OR ASSESSABLE PREMISES)

6.       KIOSK/STALL OF FOOD ITEMS (IN SEPARATE IDENTIFIED CAMPUS OR ASSESSABLE PREMISES)

7.       MOBILE STD/ISD/PCO BOOTH

Further elaborated in Annexure 1

A. TAX ON CART (u/s 209A)

1. On every cart fitted with pneumatic tyres – Rs.50/-

2. On every cart fitted with solid rubber tyres – Rs.50/-

Schedule IX of K M C Act 1980 (Second Amendment) provides for higher rates viz. Rs.50/- & Rs.80/- respectively.

The rates as mentioned in A above covered by Government notification.

B. TAX ON CARRIAGES (u/s 209F)

1. On every four-wheeled carriage (not being a hackney-carriage) drawn by two horses – Rs.40/-

2. On every four-wheeled hackney-carriage drawn by two horses – Rs.24/-

3. On every two-wheeled carriage drawn by one or more animals – Rs.15/-

4. On every cycle rickshaw – Rs.15/-

 Charges u/s 199 @Rs.50/- and Processing Fee @Rs.50/- will also be applicable.

 Jin-rickshaw as trade has been discontinued to implement policy of State Govt.

So the hawkers will be given trade license under which head? It is a million dollar question. This Government can do anything and everything to win an election. This is a gimmick to win an election. The KMC election!!

Now let us look at a shop/ establishment owner, what all he has to bear!

1.       Certificate of Enlistment (Trade License) to KMC/ Municipalities/ Panchayats

2.       Profession Tax (P-Tax) to Govt. of WB

3.       VAT (Value Added Tax) for sale and purchase of goods (VAT is exempted on Agri-Products) to Govt. of WB

4.       CST (Central Sales Tax) for inter-state sale and purchase of goods to Govt. of India

5.       If Service provider,Service Tax to Govt. of India

6.       If employed anyone as staff, prescribed fees to the Office of Labour Commissioner, WB.

7.       If a Company, Corporate Tax

8.       And lastly Income Tax on Individual’s earning.

Leave aside the inconvenience caused to the pedestrians, will the hawkers pay rest of the taxes/ fees paid by the shop/ establishment owners or shall the shop/ establishment owner become a hawker to enjoy a tax-less hassles free life!!