Kohima: The Nagaland Municipal Affairs Department has directed all Municipal and Town Councils in the state to immediately stop collecting certain taxes and fees, including tolls and urban utility charges.
In an order issued on February 23, Additional Secretary T. Nchumbemo Odyuo referred to earlier notifications of the Home Department (May 19, 2022) and the Municipal Affairs Department (November 16, 2021), as well as a letter dated September 25, 2025, concerning the closure of check gates (toll gates) and the prohibition on levying taxes or fees on goods covered under the Goods and Services Tax (GST) regime by Urban Local Bodies (ULBs).
The department noted that it had received several complaints alleging that the Dimapur Municipal Council (DMC), East Dimapur Town Council (EDTC) and Zunheboto Town Council were continuing to levy such taxes and fees in violation of government directives.
Invoking Section 81 of the Nagaland Municipal Act (NMA), 2023, the department ordered all Municipal and Town Councils to cease the collection of tolls and urban utility fees, tolls on goods, empty vehicle entry fees and vehicle entry fees with immediate effect.
The order clarified that the authority to impose taxes or fees on items listed under Section 124 of the Act requires prior government approval, which has not been granted in these cases.
The order further instructed that any structures erected for the purpose of such collections must be dismantled or removed immediately, and no later than March 6, 2026.
Meanwhile, Deputy Commissioner of Dimapur, Dr. Tinojongshi Chang, has also directed the DMC and EDTC to strictly comply with government orders regarding the closure of unauthorised check gates and toll gates.
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He emphasised that all check gates, except duly approved inter-state gates, must be closed. Any gates established by departments, municipal or town councils, organisations, groups, or private individuals without the Home Department’s approval must be removed immediately.
