Urban News

The Pioneer  26.11.2010

Staff Reporter | New Delhi

The MCD on Thursday alleged due to the lackadaisical approach of the Delhi Government residential properties in rural areas have not been exempt from property tax yet. Leader of House Subhash Arya said despite the corporation passing a resolution in this regard and being advised by the President years ago, the State Government did not pursue the matter further. Seeking immediate action for implementation of pending resolution, he also demanded that the Delhi Government should initiate at the earliest legal procedure to make appropriate amendments to this effect in the DMC Act, 1957 in this regard.

Arya also said the unauthorized colonies should also be kept beyond the purview of the property tax till the time they are regularized and provided with basic civic amenities. "Over a period of time the Government acquired land in villages rendering their residents jobless. It contributed to their miserable economic conditions. Today they cannot pay property tax due to poor income. Therefore, we have again written a letter on May 6 this year to Delhi Government demanding action on the resolution seeking the exemption," said the BJP leader.

He also stated Congress which professes to be the well wisher of villagers and people living in unauthorized colonies is behaving in a step-motherly way with the residents of these deprived areas.

"The residents of the unauthorized colonies are under compulsion to live without electricity, water, de-silting of nallahs, waste disposal and other basic civic amenities. Delhi Government should come out with appropriate amendments in DMC Act, 1957 which could take these weaker sections from the purview of the property tax," he said.

The Hindu      26.11.2010

Agency told to collect ad tax, but with a rider

HYDERABAD: Greater Hyderabad Municipal Corporation (GHMC)'s ongoing saga with USM Business Systems, the private agency chosen to collect advertisement tax from signboards, is still on.

Bank guarantee

A fresh move is on to let the agency collect the tax but with a rider. It being asked to cough up Rs. 30 crore as bank guarantee as payment for the remaining two years period to collect the ad tax from signboards on behalf of GHMC as was directed by the High Court.

But, the agency has only four months left of the three-year contract to collect the tax amounts from an estimated 1.5 lakh signboards as the period ends by March next. Ever since ad tax collection was outsourced to the agency, there have been vehement protests by traders over the method of collection.

Lot of complaints began to pour into GHMC head office alleging ‘harassment' by the agency personnel. Even as the municipal corporation decided to annul the contract and even sent a notice, USM as well as traders approached the HC for different reasons. HC while entrusting the tax collection job to GHMC had also asked it to follow due procedures to cancel a contract.

It gave ground for the agency to seek permission to collect the tax on the civic body's behalf for the remaining period.

Frontage arches

Tax was being collected for frontage arches, brand names, mobile ads, boards, umbrellas, pole panels, banners, etc., at the rate of Rs. 1,200 per square metre and Rs. 600 per sq.metre for vinyl boards.

USM has assured Rs. 10 crore, Rs. 12.5 crore and Rs. 15 crore as payments. It also paid up Rs. 6 crore and another Rs. 4 crore in bank guarantee in the first year.

A three member panel of Additional Commissioners of Planning, Finance and Advertisements are finalising the details of the fresh agreement to be put in place in case the agency consents.