The Hindu 07.10.2013
BMC moves to collect arrears of holding tax
The Berhampur Municipal Corporation (BMC) authorities
have launched a drive to collect the long-standing arrears from
defaulters of holding tax.
According to BMC
Commissioner Ajit Mishra, as per an assessment the pending holding tax
arrears amount to around Rs. 3 crores. “We have targeted to collect at
least Rs. 1 crore arrears from the defaulters before October,” he said.
The BMC is now trying to increase its revenue which is on the decline.
According
to a study, in 2001-02 the income growth rate of the BMC was 17.4 per
cent. But during 2013-14, the projected income growth rate of this urban
body came down to -3 per cent.
Notices issued
The
BMC has already issued notices to the defaulters of holding tax in the
city. As per the findings, some prominent citizens and business
establishments of the city, including some hotels, are in this list.
Holding tax of several old assets in the city has not been revised
despite the fact that those properties have been remodelled with
increase in plinth area. “There has been revision of holding tax of
properties in the city in 2001-02 but for some reason several properties
have not got their holding tax revised,” says Sangram Panda, the
executive magistrate and slum development officer of the BMC.
At
present the BMC has divided the city into 16 parts for proper
assessment and calculation of holding tax. The regions of the city have
been categorised as commercial, semi-commercial and residential areas
for assessment of holding tax.
To increase income,
the BMC has also initiated a special drive regarding trade licence. The
BMC authorities have also found that 90 per cent of the trading units,
shops and business establishments in this major trading centre of Odisha
were not registered with the BMC and are not paying the annual trade
licence fee. During the special drive to make all trading units pay the
trade licence fee, the BMC has till date collected Rs. 58 lakh, while it
had targeted to collect around Rs. 25 lakh from it, according to Mr.
Mishra.