The Times of India 20.04.2013
Town planning schemes: Municipal Corporation to charge interest on incremental charge from notice date
SURAT: The decision of the town planning committee (TPC) of Surat Municipal Corporation
(SMC) not to collect interest on pending incremental charge (IC) from
the date of sanction of preliminary town planning scheme has come a
major relief to residents of textile city.
The TPC has decided to collect the IC from the date of issue of notice instead.
This decision will provide relief to thousands of incremental charge payers in the city. SMC is yet to collect about Rs 71 crore in IC dues. The city has 125 TP schemes but only 27 of them have been approved.
The municipal corporation provides basic amenities in only those areas which have approved TP schemes.
SMC, four years ago, came up with the policy to collect IC from property developers and owners of projects in preliminary approved TP schemes with a view to provide basic facilities to the dwellers. The IC money could either be paid at one go or in installments over a period of 10 years, said TP committee chairman Kanti Bhanderi.
"Even in approved TP schemes, a majority of property owners are yet to pay up their dues. We have decided to charge interest from the date of issue of notices. This will encourage many people to pay up the dues," Bhanderi added.
"We will earn five times in revenues compared to last year. We have already sent notices to the property owners to pay up IC dues," said a TP department official. The department expects to earn at least Rs 350 crore from IC in the coming year as 50 TP schemes are close to being approved.
The TPC has decided to collect the IC from the date of issue of notice instead.
This decision will provide relief to thousands of incremental charge payers in the city. SMC is yet to collect about Rs 71 crore in IC dues. The city has 125 TP schemes but only 27 of them have been approved.
The municipal corporation provides basic amenities in only those areas which have approved TP schemes.
SMC, four years ago, came up with the policy to collect IC from property developers and owners of projects in preliminary approved TP schemes with a view to provide basic facilities to the dwellers. The IC money could either be paid at one go or in installments over a period of 10 years, said TP committee chairman Kanti Bhanderi.
"Even in approved TP schemes, a majority of property owners are yet to pay up their dues. We have decided to charge interest from the date of issue of notices. This will encourage many people to pay up the dues," Bhanderi added.
"We will earn five times in revenues compared to last year. We have already sent notices to the property owners to pay up IC dues," said a TP department official. The department expects to earn at least Rs 350 crore from IC in the coming year as 50 TP schemes are close to being approved.
