The Hindu 21.01.2010

Water tax hiked

Staff Reporter

VISAKHAPATNAM: While deferring the decision on hiking property tax, the Greater Visakhapatnam Municipal Corporation on Wednesday decided to increase the deposit for water tap connection and water tax.

While the Opposition vehemently protested against the hike, Deputy Mayor K. Dorabbai reminded them that the deposit fixed was lower than mandated by the relevant GO more than two years ago as water position then was comfortable. Unless it was hiked, providing water might become difficult, he added. The deposit in the city was the least compared to other cities, he said.

Hike justified

MP Sabbam Hari said the corporation was justified in increasing as it had to maintain a massive supply network bringing water from a distance and also to support its development programmes.

After vociferous protest and a sit-in by Opposition members, the water tax for BPL connections was increased from Rs.40 to Rs.60, instead of the proposed Rs.120.

The proposed hike for domestic tap connection was Rs. 6,000 and Rs.7,000 (for property tax above Rs.1,000 a year) for 15 mm from the present Rs. 2,000; Rs.12,000 (from Rs.10,000) for 20 mm; for commercial connection to cinema theatres, schools etc. Rs.20,000.

For multi-storeyed buildings and apartments for 25 mm, the proposed hike was Rs. 30,000 or Rs. 5,000 per each flat, whichever was higher, from the present Rs.30,000 and for 50 mm Rs.60,000 or Rs.5,000 for each flat, whichever is higher, from the present Rs.60,000.

For 25 mm commercial connections, from the present Rs.50,000 it has been proposed to hike to a minimum of Rs.60,000 or 5,000 per each unit, whichever is higher. For 50 mm commercial connection, it was Rs.1.2 lakhs or Rs.5,000 for each of the units, whichever is higher.

Monthly tax

The monthly tax for 15mm domestic connection has been hiked from Rs. 80 to Rs.120 and for 20 mm Rs.80 to Rs.160. For multi-storeyed buildings, the proposed hike is Rs.10 a kl up to 5 kl and Rs.10 a kl up to 20 kl and Rs.15 a kl thereafter. However, a monthly minimum charge of Rs.600 is applicable in case there is no consumption.

For commercial connections, the tax proposed is Rs.10 up to 5 kl, Rs.20 a kl after that and Rs.40 kl for use above 20 kl. Minimum applicable charge is Rs.1,200 if there is no consumption. For bulk untreated water the proposed hike is Rs.20 a kl a month.

The Times of India 19.01.2010

Hike in property tax, user charges to help SMC earn Rs 50 cr more

TNN, 19 January 2010, 10:09pm IST

SURAT: Municipal commissioner S Aparna has proposed to increase property tax by 11 per cent and user charges by about 15 per cent in 2010-11 to earn Rs 50 crore more.

Applying the area-based assessment method, the 11 per cent hike will help the SMC earn Rs 126 crore from property tax from the amended demand of Rs 103 crore. Similarly, the 15 per cent increase in user charges of water, drainage and solid waste collection will help it earn an additional Rs 27 crore. However, for the third consecutive year, the senior citizens would continue to get 5 per cent relief in their property tax.

Aparna said property tax and user charges combined make just 20 per cent amount compared to the proposed developmental expenditure. In the last three years, developmental works budget has grown by 61 per cent but the grant received by the SMC in lieu of Octroi has risen by just 10 per cent, necessitating a marginal hike in some taxes.

She said those property owners who have property smaller than 15 sq metre paid Rs 180 as taxes including Rs 120 for water and Rs 60 for drainage. After the increase, they would pay Rs 210 including Rs 140 for water and Rs 70 for drainage. Those with smaller homes than 25 sq metre paid Rs 270 and would now have to pay Rs 320. Those with homes measuring an area between 26 and 50 sq metre paid Rs 360 but would now have to pay Rs 420. Owners of houses with areas between 51 and 100 sq metre paid Rs 540 but would have to now pay Rs 630. Those with homes measuring areas between 100 and 200 metre paid Rs 720 but would now have to pay Rs 840. Owners with bigger homes than 200 sq metre area paid Rs 900 but would now have to pay Rs 1,050. The charges similarly have been raised for non-residential property too.