Maharashtra to levy cess on cons activity above Rs 10 lakh

In line with Central legislation, Maharashtra Government will soon levy a cess on all public and private construction in the state costing over Rs 10 lakh expecting to generate Rs 2,000 crore anually for rolling out schemes for construction labour.        

"The cess is likely to be one per cent of total cost of construction of various projects including buildings, real estate, bridges, factories, roads and fly overs," State Labour Minister Nawab Malik told PTI in an interactive session.        

The welfare measures include insurance, healthcare and education with the aim of providing security and well-being of labourers.        

The measures have already been implemented in Punjab, Haryana and Chattisgarh and Maharashtra will follow suit while Kerala is in the process of implementing it, Malik said.        

He said the projects to be implemented with this money would be decided by the Board set up for the purpose.        

"The Board will have representation from stakeholders," Malik said adding no construction activity would take off unless the levy was paid.        

The Government is also working on a scheme to help out around eight lakh powerloom workers in the state, he said.        

A high-powered committee had been set up for this purpose, he said, adding that it has recommended creating a separate Board to initiate various welfare measures for them.