JOIN USProperty tax board in two months, says top official
The State government will set up a property tax board in two months to ensure uniform taxation across Karnataka, especially in Bangalore and its outskirts, according to P N Srinivasachari, the Principal Secretary of Urban Development Department (UDD).
The department is looking for two experts for the board. “The Act is there and the Property Tax Board Rules of 2012 were published in April 2013. So the board can be constituted but we are looking for the right people,” Srinivasachari said at an interactive meeting organised by the Federation of Karnataka Chambers of Commerce and Industry (FKCCI) here on Friday.
The board, as per rules, should comprise the UDD principal secretary as chairman, the commissioner of municipal administration, the inspector general of registration and commissioner of stamps and two experts as its members. These experts should not hold any position in any State or Central government service. They should have sound knowledge of urban affairs and property accountancy.
Srinivasachari said that the objective of setting up the board was to ensure that uniform taxation standards were followed. “It aims to ensure there are no discrepancies, and each municipal corporation does not adopt its own tax norms.
Self-assessment taxation schemes such as the one in Bangalore should be implemented everywhere, instead of the capital assessment scheme. The board will help rationalise the taxation process and clear all discrepancies,” he explained.
The top official admitted that generating revenue was not easy despite having 220 urban local bodies. “Many local bodies do not give importance to collecting rent from buildings in prime location. They should be financially strengthened. There is a huge gap between Bangalore’s needs and investment. The City needs an investment of about Rs 80,000 crore for the next five years. But only Rs 30,000 crore have been generated for the functioning of all civic and infrastructure bodies,” Srinivasachari said. “Hence, we now look forward to receiving some funds from the Union government and other organisations.”
Nagarottana scheme
In order to develop urban areas, the government is working on implementing the Nagarottana scheme under which Rs 30 crore will be given to CMCs, Rs five crore to TMCs, Rs 880 crore to the BBMP and Rs 100 crore to other city corporations. Under this scheme, 3,000 km of roads will also be developed across 19 districts at a cost of Rs 2,000 crore.