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VMC launches survey to plug revenue loopholes

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The Hindu                 03.05.2013

VMC launches survey to plug revenue loopholes

G.V.R. Subba Rao

The Vijayawada Municipal Corporation has launched a revenue study with a view to plugging the loopholes, if any. The teams, comprising revenue, town planning, and public health (D&O licence) officials, and a representative of CAD solutions, is pressed into action.

The pilot study is being carried out in 21B revenue ward. Based on the results, the study will be extended to other parts of the city. The team will examine deviations in assessment, usage — say using the house for commercial purpose though it is recorded as residential — wrong measurements etc.

Similarly, the team will record the data such as property tax, water and drainage charges being paid, location of property. The data will be integrated for better services and improvement of tax collection, sources say.

In the ongoing study, the team observed that some owners have changed the usage and have not informed the corporation. Neither, the field staff such as revenue inspectors and bill collectors is aware of the deviations.

For example, first floor of a house was converted into a godown. Hitherto, the shops in ground floor were only recorded as commercial. As there was demand for more space from the shopkeepers, the owner leased out the first floor for godown purposes, sources say.

The teams also encountered stiff opposition from the public, more particularly from traders. For instance, Lifestyle furniture showroom located on Eluru Road has declined to provide information sought by the team. Subsequently, Municipal Commissioner G.S. Panda Das himself supervised the records at the shop.

The study will help in improving the property tax, Dangerous and Offensive (D&O) trade licence fee, water charges etc. The corporation is expecting to improve the tax collection by 25 per cent to 30 per cent. The total demand is expected to touch Rs. 100 crore.

A high-level team to examine deviations in assessment, usage, and wrong measurements.