Mohan Meakin pays Rs 26L pending tax to Solan MC

Succumbing to pressure from the Solan Municipal Corporation (MC), which had threatened to disconnect their utilities, officials of Mohan Meakin Brewery, India’s oldest such facility, today deposited the first installment of Rs 26.14 lakh pending as conservancy tax since 1994.

The liability had amassed up to Rs 57,52,075 as the tax was levied on the brewery management since 1994 when the civic body was a municipal council. Calculated until 2021-2022, it also included a 10 per cent penalty of Rs 5,22,918. Interestingly, Kapil Mohan, former chairman and MD of the brewery, remained the civic body chairman for years, but its management chose to remain defiant on paying taxes.

Confirming the development, Solan MC Commissioner Ekta Kapta said, “The Mohan Meakin management deposited the first cheque for Rs 26.14 lakh today with the promise of depositing the remaining amount in two installments of Rs 13 lakh each on a six-monthly basis. As per an existing offer, the 10 per cent penalty has been waived off.”

She added that the pending liability of conservancy tax, levied on the MC residents prior to introduction of the property tax in 2022, stood at Rs 3.25 crore. In the 2024-25 financial year, concerted efforts made by the civic body helped to recover Rs 96.74 lakh, while another sum of Rs 14.17 lakh was secured this year up to September 11.”

The tax has been outstanding against the brewery ever since it was reportedly merged with the Solan Nagar Panchayat during the delimitation exercise. It later upgraded to a municipal council in 1950 and then a corporation in 2020.

Mayor Usha Sharma said it was a welcome step and she expected more people to follow suit so that MC could speed up developmental works in the city.