Recently, the Municipal Corporation of Delhi (MCD) had released a notification asking property owners in its area, including those living in unauthorised colonies, to deposit property taxes as soon as possible. Taking strong exception of the issue, the councillors on Wednesday passed a resolution saying that the notification should be lifted and unauthorised colonies and villages exempted from the tax. Sarita Choudhary, a councillor from the Opposition, pointed out that it was unfair of the civic body to levy taxes in areas where it has not been able to provide basic civic amenities. The issue created an uproar at the Standing Committee meeting with several councillors of the ruling BJP objecting to it. They were also supported by Opposition Congress members, including Leader of Opposition J K Sharma.

They submitted a memorandum stating that unauthorised colonies have a lot of problems with regard to electricity, water, roads, sanitation and sewerage, and so they should not be required to pay any tax. Sharma told reporters that people residing in unauthorised colonies sometimes depend on the money they collect by renting out rooms. “They have too many problems as it is, and the MCD should not add to them,” he said. After nearly half-an-hour of squabbling, the meeting was adjourned without any agenda being taken up. MCD officials, however, maintained that as per regulations, the owners of such properties are liable to pay property tax.

As the money generated from property tax is the biggest source of income for the civic body, it has started surveying their properties. Earlier, the civic body had simplified its property tax forms to make the process more user-friendly.

The  Times of India              11.11.2010

State proposes to double water, sewage charges

CHANDIGARH/GURGAON: After giving a house tax shock to the urban population during last budget session, the state public health department is now planning to make a cut to your pocket by doubling water and sewage charges.

The public health department has already proposed to double the existing rates and the matter has been placed before the chief minister for his approval, said a highly placed source in the public health department.

While there could be some relief for cities like Panchkula or other HUDA managed urban estates, the move will mainly affect cities like Gurgaon and Faridabad. In urban estates like Panchkula HUDA collects such revenues whereas civic bodies are responsible for these charges in other cities.

The central governments condition of making the civic bodies like municipal corporations self sufficient for releasing the funds under Jawahar Lal Nehru Urban Renewal Mission (JNNURM) is being stated as be the main reason behind the rise in the charges.

The proposal of charging uniform tariff for civic bodies and HUDA urban estates, drafted by a committee headed by local bodies minister Mahender Partap Singh, is currently lying on the table of chief minister Bhupinder Singh Hooda. As of now, HUDAs water charges are Rs3 per kiloliter for domestic supply of up to 30 kilometres and sewage charges are Rs8 per seat.

On the contrary, public health department charges Rs1.25 per kilolitre for domestic supply and Rs2.50 for commercial supply of water. The department charges Rs5 per seat as sewage charge.