The Hindu     Kerala (Kochi)         02.09.2016  

Audit report pegs tax loss to corpn. at Rs.108 crore

The city corporation, which is struggling to find
resources for its day-to-day activities, is lethargic in collecting
taxes, says the latest Local Fund Audit report.

The
tax arrears of the local body during the 2014-15 fiscal come to a
whopping Rs.108.32 crore and it collected only 36.29 per cent of the
property tax from the residents of the city. Of the Rs.43.69 crore to be
collected, it could collect only Rs.15.85 crore. The local body has
also been going soft on collecting professional tax from traders,
professionals and institutions in the city.

The
municipal law empowers the local body not to renew the annual licences
of agencies which have not cleared the tax arrears. Yet, the burgeoning
tax arrears are a matter of serious concern, the auditors point out.

The
failure of the local body in collecting tax for the advertisements
displayed in the city resulted in a loss of Rs.3.34 crore. All publicity
materials that are displayed in the city without remitting the tax
should be removed, they say. Several institutions are found operating in
the city without valid licences. A large number of tutorial
institutions, parallel colleges and paramedical institutions are found
operating in the city without registering themselves with the local
body. The civic authorities should pay attention to collecting taxes and
other statutory fee from agencies concerned, the report says.

Many flaws

The
local body has also failed to fully discharge is duties regarding the
maintenance of office records, services offered at its front office,
publication of citizens charter, setting up of ward centres,
distribution of welfare pension and implementation of rural employment
guarantee scheme, the report adds.