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Taxation

Corporation sets targets for tax collection wing

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The Hindu               02.07.2013

Corporation sets targets for tax collection wing

Staff Reporter

The adverse remarks made by the Comptroller and Auditor General (CAG) on tax collection by the City Corporation has prompted authorities to streamline functioning of the tax wing of the civic body and set monthly targets for bill collectors at the ward level. The CAG in its audit report on the Local self-government institutions for the year ending March 2012 had found that even after seven years the civic body had not made mandatory reforms for increasing the property tax collection to 85 per cent of the projected demand as part of the norms set for implementing the Jawaharlal Nehru National Urban Renewal Mission.

The standing committee for Finance, which met last week, decided to hold tax review meetings on the second Friday of every month and also decided to set monthly targets for bill collectors. Deputy Mayor Happy Kumar, who is also chairman of the standing committee for Finance, told The Hindu , that henceforth it was decided to hold monthly meetings of revenue inspectors to review collection of property tax. “Probably we will hold the meeting on the second Friday of every month,” he said.

The Corporation also plans to fix accountability to even junior level officers in the revenue wing and in this regard a resolution would be moved to get the council’s approval. The Corporation had projected a demand of Rs. 60 crore as property tax in the current budget. A survey would be conducted to assess buildings, unaided educational institutions to prevent tax evasion, he said.

 

Rajkot Municipal Corporation collects 45% of property tax

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The Times of India               01.07.2013

Rajkot Municipal Corporation collects 45% of property tax

RAJKOT: Rajkot Municipal Corporation (RMC) has collected Rs 78.32 crore as advance property tax, thanks to its incentive to tax payers. The last day to avail the benefit was June 30 and around 1, 56, 220 tax payers had paid their property tax in advance.

The RMC had offered a 10 per cent tax rebate to men and 15 per cent to women property owners in tax from April to May 31. From June 1 to June 30, the rebate on tax was reduced to 5 per cent for men and 10 per cent for women.

The RMC officials said they had received very good response to the incentive scheme and as many as 45 per cent of the total property tax payers have already paid their tax.

There are around 3.5 lakh properties in the city. RMC has set the property tax collection target at Rs 170 crore and it might be revised and set at Rs 180 crore for the financial year 2013-14.

"June 30 was the last day to avail of the rebate benefit and Rs 20 lakh as advance tax was collected on Sunday. From October 1, tax payers who are yet to pay their dues will have to pay with interest," a RMC official said.

 

BMC wants 4 yrs’ property tax to be paid by this September

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Hindustan Times          01.07.2013

BMC wants 4 yrs’ property tax to be paid by this September

While the payment deadline for the capital value-based property tax arrears of the past three years has been extended to September 30 for those whose tax has increased under the new system, bills for the current year (2013-14) are already being generated and will be due around the same time — in September.

Under the new capital valuebased system of the Brihanmumbai Municipal Corporation (BMC), taxes of 19% of residential properties and 87% of commercial properties had been hiked.

This means that you will not only pay tax arrears since 2010 this, September but also the tax amount for the current year of 2013-14.

“The new bills will be served in a few days and residents will have 90 days to pay them,” said Rajiv Jalota, additional municipal commissioner.

The burden is expected to be higher as taxes under the new capital value-based regime according to civic data, have risen for some old residentia properties by twice the amount and thrice the amount for commercial properties.

“As per the usual cycle of giving 90 days for payment on receipt of the bill, payment for the months from April to September 2013 will have to be made by September and payments for the next six months from October to March wil have to be made by December,” said an official.

With the delay in the implementation of the new system and the constant demands made by activists and citizens for deadline extensions, experts said the BMC planning for payments has left something to be desired.

“The BMC should have foreseen the burden that payments at one go would cause to citizens It should have created a system of accepting payments in installments, at least for the arrears and should have set corresponding deadlines for payments of each year,” said Utsal Karani secretary, Janhit Manch, an organisation that works towards resolving property tax issues.

 


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