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HindustanTimes Sat,30 Aug 2014

MCG collects Rs. 87 crore property tax in one month

Charumathi Sankaran, Hindustan Times  Gurgaon, July 08, 2013
First Published: 01:54 IST(8/7/2013) | Last Updated: 01:55 IST(8/7/2013)

The Municipal Corporation of Gurgaon (MCG) has collected R87.3 crore as house tax from its four zones in the past one month. The revenue was highest from New Gurgaon colonies, where several residents’ groups have been opposing property tax payment.

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The residents’ welfare associations (RWAs) and the Gurgaon Citizens’ Council (GCC) have asked residents not to pay house tax, saying they have already been paying maintenance charges to private developers.

Of the total tax revenue, around Rs. 66.51 crore came from the zone in which New Gurgaon falls. MCG officials said that a large number of residents have deposited the house tax.

“On an average, tax collected from new Gurgaon is half of that collected from Old Gurgaon. The figure is encouraging because many residents of New Gurgaon had said they would not pay house tax,” said an MCG official.

The MCG has issued an order that puts in abeyance the recovery of the property tax from commercial entities for 45 days since June-end. Officials say that the move gave impetus to the collection of maximum tax revenue from residential property owners.

“Since the commercial entities have got an abeyance order, the tax collected is largely paid by residents. However, this cannot be ascertained till we reconcile all payment records,” said a zonal tax officer.

“A lot of residents approached us, saying they did not want to pay the house tax earlier as they confused it with the maintenance fee charged by developers but agreed to deposit the tax after they understood the difference,” he added.

Meanwhile, residents of New Gurgaon areas said they had not paid any house tax. “We have not paid any house tax so far. The builder may be paying the tax but there has been a collective decision against paying the tax which everyone has adhered to,” said RS Rathee, president, GCC.

According to NL Goel, a resident of New Gurgaon, “There is no question of paying tax when we have raised objections over it repeatedly.”


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