Corporation to squeeze private schools

Thursday, 23 July 2009 12:35 administrator
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The New Indian Express 23.07.2009

Corporation to squeeze private schools



CHENNAI: In a landmark decision to increase its dwindling revenue resources, the Chennai Corporation Council on Wednesday gave its nod to a necessary amendment in the Chennai City Municipal Corporation Act (1919) to impose property tax on private schools located in its limits. A resolution in this regard has been passed unanimously at the Council meeting.

It may be noted that, a resolution to impose property tax on private educational institutions had come up for a detailed discussion during a Council meeting last September but it was stalled by several councillors under the pretext that the schools were doing social service, even though a few councillors supported the bold move by the civic body to bring private educational institutions, exempted from paying property tax within the tax ambit.

Mayor M Subramanian had then formed a committee of leaders of different parties in the Chennai Corporation to decide on the issue. The committee had various sessions and recently came up with a list of private schools in the city. Based on the details and analysis provided by the committee, the civic body on Wednesday (as a first step) gave its green signal to amend the Chennai City Municipal Corporation Act to impose property tax on private schools. The city has 732 private schools and 119 government-aided private schools.

Most of the councillors who spoke on the resolution, said it would help the Corporation get more revenue.

Last Updated on Thursday, 23 July 2009 12:39