Property tax may go up in S Delhi

Property tax may go up in S Delhi

South Delhi residents may have to pay an hiked property tax from the next financial year with the civic agency clearing the desks to increase the rates on Monday.

The Standing Committee of the South Delhi Municipal Corporation also proposed a new ‘professional tax’ to be imposed from April 1 in a special session to discuss the 2016-2017 Budget on Monday.

The proposals passed by the Standing Committee will be deliberated upon in the House meeting, and the one passed by the House will be incorporated in the Budget for 2016-17.

Earlier, South Corporation’s Commissioner Puneet Kumar Goel had proposed a two per cent hike in property tax for ‘A’ and ‘B’ category colonies and one per cent increase for ‘C’, ‘D’ and ‘E’ categories respectively on December 9, while tabling the 2016-17 Budget.

If the proposed hike gets the House’s nod, the property tax rates for ‘A’ and ‘B’ category colonies will go up from 12 per cent to 14 per cent and for ‘C’, ‘D’ and ‘E’ categories will have to pay 12 per cent instead of the 11 per cent.

While no changes have been proposed in property tax rates for ‘F’, ‘G’ and ‘H’ category colonies.

The initial budgetary proposals had five per cent reduction, from 15 per cent to 10 per cent, in rebate for timely property tax payments. The proposal was shot down by Chairman Standing Committee Radhey Shyam Sharma.

“The civic agency opposes any reduction in rebates and incentives it gives to citizens. We will discuss the proposed hike in the House meeting,” said Sharma.

The Standing Committee revised the estimated income for the next financial year from Rs 3,857.56 crore, was proposed by commissioner, to Rs 4,079.56 crore.

Sharma said that the commissioner’s estimated income did not take into account revenue from advertisements, mobile towers, regularisation of farmhouses, street vending licence fees, community centres, and fines on illegal slaughtering, among other sources.