Sealing Drive Helps BMC Earn Record Money As Property Tax

Sealing Drive Helps BMC Earn Record Money As Property Tax

Sealing Drive Helps BMC Earn Record Money As Property Tax
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In a record of sorts, the Brihanmumbai Municipal Corporation (BMC) has collected Rs 5,150 crore as property tax in the financial year 2017-18. While the civic body has earned Rs 300 crore more when compared to the last fiscal, this is the highest amount it has recovered as property tax ever. However, against its target to earn ₹5,402 crore, the BMC has fallen short.

After development charges that real estate developers pay to the BMC, property tax is the highest source of income for the civic body. 

It is worth mentioning here that till March, the civic body had collected only ₹3,786 crore. How did the collection increase so quickly? The BMC, which is the richest civic body in the country, launched a sealing drive against defaulters, which included major commercial players. The action seemed to have worked well.

“We have sealed more than 200 properties in the last financial year. Still, we have fallen short of some Rs 50 crore to achieve the annual target. We had focused on the recoverable amount since more than 50 per cent of the unpaid taxes are in disputes,” BMC Assistant Municipal Commissioner Devidas Kshirsagar was quoted by Hindustan Times as saying.

Official data show the civic body has to recover Rs 9,948 crore in property tax, but, a large part of this money ─ Rs 5,094 crore, to be exact ─ is stuck in litigation. The BMC has listed 100 defaulters from whom it has to recover the money which lies unpaid over several years.

Also read: All You Need To Know BMC’s Property Tax Calculator

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@@Fri Jul 20 2018 17:56:04