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Taxation

Ahead of new P-tax regime, BMC says 800 hands short

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Indian Express 15.04.2010

Ahead of new P-tax regime, BMC says 800 hands short

sharvaripatwa Tags : corporation, property tax regime Posted: Thursday , Apr 15, 2010 at 0441 hrs

Mumbai: A shortage of manpower will be the BMC’s biggest obstacle as it gears up to migrate to the capital value-based property tax evaluation system. Its assessment and collection department (including octroi) has 799 vacant posts, according to figures till April 13.

These posts have been vacant for more than two years, an official said. “If the existing staff start working towards adopting the new tax system, who will do the current work?” an official asked.

“We need to add substantially to our current employee strength,” said N A Pathan, chief assessor & collector.

More than 430 of the vacancies are in middle-level and senior positions alone. Of these, 158 are ward tax inspectors’ posts and 113 octroi inspectors’ posts.

“We have received just 450 applications for the post of inspector; the response was poor,” Pathan said. “We are thinking of extending the time to invite applications.” He added that officials are contemplating adding more young blood in the department, and looking for “enthusiastic, dynamic” people trained in computer skills.

These posts are usually filled by recruiting staff from other departments. Some officials suggested that at least 50 per cent of the posts be filled through direct recruitment from outside, but neither the employees’ union nor the civic administration was keen, sources said.

The standing committee had asked the administration to implement the new tax system from April 1. However, the administration says it cannot do so until next year, and cited many reasons, both technical and legal.

Last Updated on Thursday, 15 April 2010 11:41
 

Housing society sues civic body over hike in property tax

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Indian Express 15.04.2010

Housing society sues civic body over hike in property tax

Mohan Kumar Tags : houisng, property tax Posted: Thursday , Apr 15, 2010 at 0445 hrs

Mumbai: A Bandra housing society dragged the municipal corporation to court after it was served a notice to pay an exorbitant property tax. Members of Hill Road housing society have stated in their petition that the rateable value of the property (its rent-earning capacity) has been increased from Rs 33,090 to Rs 16,49,165 after three of 37 residential flats were rented out.

The petition filed by Anjana Kshetry and Sanjeev Gautam of Hill Road Cooperative Housing Society states that in August 2008 the assistant assessor and collector of the municipal corporation had served a notice to the secretary asking for details of the flats after which the secretary furnished the details. On March 17, 2009, the secretary was “shocked and surprised” to receive a special notice informing the society that the rateable value has been increased to Rs 16,49,165.

The secretary met the ward officer and requested for a review of the increase. The assessor directed the secretary to lodge a complaint within 15 days of receipt of the notice. A complaint was lodged but after some delay. The petition states that the society was under the impression that they would get a hearing since the complaint had been lodged.

On July 8 it received a letter informing that the complaint was time-barred since it was not filed within 15 days. The assessor also refused to condone the delay.

The petition further states that the demand for such a huge property tax amounts to confiscation of the entire rent, and more, received by the members of the society. They also state that the actual rent cannot be made the basis of fixation of the tax.

The petitioners had urged the court to quash the notice and direct the corporation to give them a hearing. The petitioners’ lawyer Nilima Sanglikar argued that even the entire rent collected by the members won’t be enough to match the tax demand.

Division bench of Justice J N Patel and Justice A P Bhangale had then set aside the July 8 letter and held that the petitioners are entitled to a hearing before the assessing officer. The court then directed the petitioners to appear before the assessing officer within two weeks and directed the assessing officer to pass an order in accordance with law within 4 weeks.

The court also granted the petitioners the liberty to move court if they are not satisfied with the order.

Last Updated on Thursday, 15 April 2010 11:00
 

Water bills fail to reach half of Navi Mumbai consumers

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Indian Express 15.04.2010

Water bills fail to reach half of Navi Mumbai consumers

Stuti Shukla Tags : consumers, water bill Posted: Thursday , Apr 15, 2010 at 0451 hrs

Mumbai: Nearly half the legal consumers of water in Navi Mumbai did not receive the water bill for February and March. The 52,000 consumers who were not sent bills stay in CIDCO-built buildings, including CIDCO condominiums, which largely house those from the economically weaker sections.

Navi Mumbai Municipal Corporation officials said a technical glitch caused the problem. Sanjay Desai, chief executive engineer of NMMC’s water supply department, said there was no political pressure and the delay was due to software problems. “We recently installed water meters in the CIDCO buildings that were earlier being supplied water and charged directly. The water rates were revised three days before the election code of conduct that came into effect on February 27. Because of this we could not update our software and could not generate the bills,” said Desai. Ironically, the other 66,000 consumers were sent bills with the revised rates. The NMMC standing committee had slashed water rates for domestic users, just two months before the elections, from Rs 4.75 per 1000 litres upto a total monthly consumption of 25,000 liters to just Rs .50 for water consumption upto 30,000 litres per month. The charges for commercial users remain the same at Rs 30 per 1000 litre till consumption of 25,000 litres.

The area’s daily demand of 315 million litres of water is met by civic-owned Morbe Dam and CIDCO-owned Hetavne Dam and MIDC’s Barvi Dam. The annual revenue generated from water bills is Rs 54 crore.

Last Updated on Thursday, 15 April 2010 10:57
 


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