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Property tax rebate scheme gets lukewarm response

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The Times of India       30.12.2010

Property tax rebate scheme gets lukewarm response

AHMEDABAD: The ongoing tax incentive and rebate scheme of Ahmedabad Municipal Corporation (AMC) on property has got a lukewarm response from the citizens, according to leader of opposition in AMC, Badruddin Sheikh. AMC had last month announced that defaulters will get a 50 per cent rebate on property tax interest rates and penalties.

Under the new and old formula, AMC has tax arrears totalling Rs 1,600 crore. Also, against the expected collection of Rs 629 crore as arrears in the current financial year, AMC has collected only Rs 331 crore.

"The property tax collection this year is just 50 per cent of the expected amount. Also, the current rebate scheme has neither helped the citizens nor AMC. So, I have requested the authorities to extend it for two more months and also give a 100 per cent rebate on interest levied on defaulters," said Sheikh.

The present rebate scheme will come to an end on December 31.