A fresh review of a few selected buildings in the Capital city will
be conducted to re-examine the holding tax  for these buildings.

BMC
has assigned five junior engineers for examination of the buildings.
They will conduct the assessment of the buildings whose holding tax may
be revised.

BMC had recently evaluated the holding tax for the
residential units as well as the commercial units. Sources in BMC said
AG officials will reevaluate the holding tax details for more than 80
buildings in the City.

The re-examination is being done to gauge
if BMC has assigned correct value for these properties or not. Based on
the re-evaluation, the holding tax for these buildings may be enhanced
or reduced.

The evaluation of holding tax for any property is done
on the basis of the area and the location. The nature of use of the
property is also taken into account.

Holding tax is the second
highest revenue earner for the BMC which generates about Rs 20 crore.
But the corporation faces a major challenge when it comes to revising
the tax for the commercial and residential units.

Corporation
officials face opposition every time they propose a hike in holding tax.
A recent attempt by BMC to hike the tax met with stiff resistance.
Eventually the High Court issued a stay order stating that BMC had not
followed proper procedure for increasing the tax.