Govt to assess property tax potential of local bodies

The State government has decided to assess the property tax-collection potential in all urban local bodies with the help of private firms, Urban Development Minister Vinay Kumar Sorake said on Thursday.

Speaking to mediapersons in Bengaluru, Sorake said that according to a study by a private firm, the Belagavi city corporation has the potential to generate a revenue of Rs 55 crore per annum through property tax-collection. The corporation has collected Rs 30 crore in the last financial year.

Similarly, Hubballi-Dharwad and Mangaluru have the potential to generate a tax revenue of Rs 130 crore and Rs 140 crore respectively, he added.

Strict directions were issued to all the urban local bodies to increase their revenues through the collection of taxes. Steps are also being taken to impose hefty penalties on those who try to evade property tax.