The Indian Express 21.06.2013
House tax: Bylaws being prepared by MC
The UT Administration is in the process of preparing the bylaws for the collection of house tax. A communication is also being sent to the Municipal Corporation to prepare a proposal for levying the tax as per rateable value of residential property. Once decided, this will be imposed from the next financial year.
The UT Administrator recently gave his nod to the imposition of house tax in the city at the rate of Re 1 per yard per annum. Revenue amounting to Rs 2.27 crore will be collected through this. Imposition of tax is one of the conditions under the Jawaharlal Nehru Urban Renewal Mission (JNNURM).
The bylaws for imposing the tax are being prepared. These will entail the details of the tax being imposed as well as the mode of collection. UT Home Secretary Anil Kumar said that while bylaws for commercial property are already there, those for the residential property are under the process of being prepared.
"The Municipal Corporation is being sent a communication for preparing the proposal for calculation of house tax on rateable property. The new proposal has to be prepared in a period of three months. However, for this financial year, the tax will be collected at Re 1 per sq yard per annum. From the next financial year the new model will be implemented," said Anil Kumar.
The commercial property tax is collected on basis of rateable value of property. The rate at which tax on residential property is being levied will not generate much revenue.
The tax was imposed after repeated reminders from the Centre. It was stated that if the tax is not imposed, funds under Jawaharlal Nehru Urban Renewal Mission (JNNURM) will not be released.
Among the projects that are being undertaken in the city with funds from JNNURM is the construction of one-room tenements under the rehabilitation scheme.
A purchase of buses also needs to be made. The proposal for augmentation of water supply through Kajauli will be undertaken from these funds once the dispute between Punjab and Haryana over the issue is sorted out.
