The views are factually inappropriate and legally incorrect. CVS as a method of taxation is being introduced in accordance with the provisions of the KMC Act 1976, which was suitably amended in 2001. The legislation was debated in both the Houses of Legislature and after following due process of law, the KMC Act was amended to provide for CVS in place of the Annual Ratable Value (ARV) system.

Consequently, all other municipalities in the State including the eight which got merged with BMP to form BBMP have been brought under the CVS since 2003. It is only the erstwhile BMP which decided to defer implementation of CVS. The decision of the then BMP being contrary to the law has since been challenged in the Karnataka high court by a writ petition (WP 3074/08), requesting refund of the tax collected since 2003 under ARV without the sanction of law.

After formation of BBMP, there can not be an anomaly in levy of tax by continuing with ARV in the old BMP areas and CVS in the new areas. Moreover, terming a legally correct action as undemocratic can amount to breach of “legislative privilege”.

BBMP is in the process of taking out a handbook containing relevant information about CVS, FAQs and model tax computation for different categories of properties for the convenience of the tax payer. An online tax calculator is also under development. All these will be ready prior to April 1, 2008 and assessees will have three months’ time thereafter to make use of these to file the tax return.

 CVS relies on self assessment of tax by the assessee and thus, does away with any discretion to the tax assessor. It is not a resource generation measure of BBMP. It is a mandate of the government by virtue of the law. Property tax is more in the nature of wealth tax, where the levy is not linked to the ability to pay, as borne out in the Supreme Court Judgment.

It is a citizen-friendly scheme, wherein self-computation of tax is mandatory. Moreover, CVS is transparent, scientific and non-discretionary compared to the ARV system. Since the Act has been amended, BBMP has no other go but to implement it in principle and spirit.

Public Relations Officer, BBMP, Bangalore