Dharavi is Asia's largest slum spanning over 250 hectares. (File)
Businesses rehabilitated in Mumbai's Dharavi following its redevelopment will get a refund of State Goods and Services Tax (SGST) for five years. This will provide a boost to the local economy, said Dharavi Redevelopment Project Private Limited, a joint venture between the Maharashtra government and the Adani Group.
The rebate, which will come into effect after the receipt of the occupation certificate, will make businesses more competitive and provide them with growth opportunities, said the DRRPPL.
“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. This will provide existing and new businesses in Dharavi a robust footing and boost their profitability,” said a DRPPL spokesperson.
SGST will be reimbursed by the state government's Finance Department for five years from the date of issuance of the OC, the company said, adding that the sops will give a massive push to formalise Nav Dharavi's economy.
Dharavi, Asia's largest slum spanning over 250 hectares, is being redeveloped by the Adani Group to provide flats to eligible residents, schools, community halls, and hospitals.
Thousands of industrial and commercial units manufacturing garment and leather items function in the area. Many are vendors for large national and international brands sold across the world, with a turnover estimated to be in millions of dollars.
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