Tax default: 2 lakh property owners get BBMP notice

Number of defaulters estimated at 6.5 lakh, physical verification begins

 
The Palike has estimated the number of defaulters at 6.5 lakh. The BBMP has also begun the physical verification of the properties served with default notices.

The property owners have been given 15 days to comply with the notice following which an additional penalty of two percent and a fine of Rs 100 will be levied.  “We expect nearly 2.6 lakh defaulters in the old Bangalore city area and nearly four lakh in the areas brought under BBMP limits recently,” informed a Palike official.

Substantial increase

Meanwhile, the BBMP has raked in Rs 455 crore in the first half of the property collection drive. “This is a substantial increase over the last year’s collection. Our target is Rs 1,000 crore this year. We still have time till March to collect the tax that includes payments with penalties,” said the official.

The present property tax revenue is 60 pc of that collected during 2008-09. Palike had put the collection at Rs 728 crore on the last occasion. The BBMP has claimed that the tax due under the cheques which have been dishonoured, does not exceed Rs one crore.

The GIS system will be in place by December this year to assist and identify the properties under BBMP jurisdiction.

“The system is being updated and it should be operational by this year end,” the official said. However, the number of vacant sites for the tax collection purpose is yet to be ascertained. Vacant sites number very few in the old Bangalore area. Those in the areas newly brought under BBMP limits are yet to be accounted for, said the official.

Sufficient sum

The Palike authorities claim that the local body has sufficient sum for payment of staff salary. “The expenditures are being made as per our budgetary allocations that includes the funds from the collection of property tax for the year 2008-09,” an official revealed.

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