NMC’s General Body Meeting approves increase in Property Tax

Advertisement

nmc-buildingNagpur: The General Body Meeting of Nagpur Municipal Corporation on Wednesday approved the hike in residential and commercial property tax proposed in the financial year 2015-16. The Ruling Party, with the advantage of a comfortable majority, gave its stamp of approval to the hike.

After the General Body Meeting, the Mayor Pravin Datke, Ruling Party Leader Dayashankar Tiwari and Tax Committee Chairman Girish Deshmukh addreesed a press conference. They said that for the last year various taxes like General Tax at the rate of 31 percent, Sewage Water Tax – 12 percent, Fire Service Tax – 1 percent and General Water Tax – 10 to 40 percent will be recovered. For the financial year 2015-16, the taxes will be recovered at new rates i.e. 30 percent, 12 percent, 1 percent and 10 to 15 percent respectively. It means 40 percent additional 40 percent of Property Tax was being recovered from those who opted no water connections. But, now 15 percent will be recovered from the new financial year.

In Nagpur, there is different criterion for assessment of Property Tax in different areas. The new tax payers in city’s outer areas will have to pay the Property Tax pending since past six years as per NMC Act.

Apart from the hike in Property Tax, the NMC will recover additional 1 percent Sewage Water Tax, 1 percent Water Tax, 1 percent Road Tax, and 1 percent Municipal Education Tax in accordance with the provisions of NMC Act.

During assessment of tax, 10 percent of total built-up area (Verandah, stairs, open area etc) will be given rebate. Four percent tax hike will be slapped on those tenants living in city’s old houses and who are facing court or other cases. The number of such properties stand between 5000 and 6000 in city.

The new tax system will come into force from April 1, 2015. In the financial year, an altogether new survey of every property will be conducted. Till then the tax will be recovered at old rate. The more or less amount will be adjusted in the next Demand Note once the fresh assessment is carried out.

Till now, two percent additional cess per month was being recovered from irregular tax payers. However, the NMC has demanded the State Government to cancel or reduce the amount. The State Government is expected to take a decision in this regard for all the Municipal Corporations and not only for NMC.

04-1 04-2 05-1 05-2 06-1

– Rajeev ranjan kushwaha (rajeev.nagpurtoday@gmail.com