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HindustanTimes Wed,20 Aug 2014

DDA is worst property tax defaulter

Hamari Jamatia, Hindustan Times  New Delhi, November 05, 2012
First Published: 23:28 IST(5/11/2012) | Last Updated: 00:43 IST(6/11/2012)

Delhi Development Authority - the biggest land owning and housing agency in the national Capital - has topped the list of property tax defaulters.

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The list has been prepared by the South Delhi Municipal Corporation which features of several other government agencies.

According to the south body, DDA owes Rs. 746 crore in property tax dues.

The DDA has 319 properties and 24 sports complexes in the city for which it is liable to pay property taxes, claims the corporation.

Land and housing agencies such as HUDCO and CPWD are also found liable to pay Rs. 45 crore and Rs. 35 crore, respectively, in tax dues.

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According to the corporation records, government agencies are the biggest defaulters when it comes to paying property tax in the city.

They either pay no taxes or when they do pay, they do it as per incorrect assessments. CPWD, for instance, pays service charges instead of property tax but instead of 75% it is paying only 50% charges.

"According to law, all government agencies are liable to pay taxes but they just ignore it. They have not taken cognizance despite repeated notices," said a senior South Corporation official.

Other agencies that have not paid taxes/stopped paying taxes or are paying incorrect taxes are the railways, Delhi Metro Rail Corporation, department of posts, Delhi Police and Sports Authority of India.

Altogether, government agencies owe civic bodies in the Delhi over Rs. 1,500 crore.

"The corporations are losing a lot of money in tax revenues. We have invited the government agencies for a discussion, but they don't seem enthused," added the official.


Now, the South Corporation has written to the Delhi government, urging it to take up the matter with the Union urban development ministry.

While the DDA spokesperson refused to comment on the issue the railways claimed that they are not liable to pay either property taxes or service charges.


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