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House tax likely to be hiked

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The Times of India                        18.03.2013

House tax likely to be hiked

CHANDIGARH: If you are happy with the nominal property tax of Re 1 per square yard imposed by the MC on residential areas, be prepared for a jolt. You may have to shell out more with the local bodies department forming a committee to study slabs passed by the MC.

The local bodies department will examine the issue in detail, studying the formula of setting rates, seeing if the exemption of any category is feasible or not and if it is, what the criteria and mode of payments should be. Officials in the local bodies department are waiting for the minutes of the MC's last house meeting, which will be sent to the UT in a week or 10 days. The UT exercise will begin after that.

"After getting the minutes of the MC's house meeting, a committee of officers will be formed to look into all aspects, including the collection amount of tax and its formula. If the committee feels the amount is low and requires revision, it will be done and public opinion will be sought," M M Sabharwal, joint secretary of local bodies' wing of the UT said.

According to M M Sabharwal, joint secretary of local bodies' wing of the UT, "There are various other issues, like exemption and mode of payments, which need detailed brainstorming before a decision to impose the tax is taken."

Another UT official pointed out that the amount the MC had passed for the tax is too low and does not serve the purpose of tax collection. There are chances of revision but MC has passed the house tax. Had it not been done, financial grants from the Union government would have been hampered. The MC decided to impose house tax on residential properties last month. The agenda was approved without a discussion as the house was completely disturbed.
Last Updated on Monday, 18 March 2013 09:57