As expected, MCD panel rejects proposal to hike taxes
After receiving flak from all quarters for its proposals to burden Delhiites with more taxes, the legislative wing of the Municipal Corporation of Delhi (MCD) on Friday decided to reject all tax hikes.
After receiving flak from all quarters for its proposals to burden Delhiites with more taxes, the legislative wing of the Municipal Corporation of Delhi (MCD) on Friday decided to reject all tax hikes.
It also decided to reject the introduction of congestion charges and sanitation taxes in the city from April 2012. The axe will, however, continue to hang on the common man due to MCD trifurcation.
In April, when the trifurcation is implemented, separate budgets will have to be made for three separate corporations.
According to senior MCD officials, proposals for new taxes and hike in existing taxes may find their way in the new budget.
A special meeting was held on Friday following the MCD commissioner KS Mehra’s budget proposals on Wednesday in which he proposed hikes in property taxes, night parking charges and also introduction of two new taxes — congestion and sanitation charges.
“The residents of Delhi are already facing inflation and hike in water, electricity and fuel charges. It is not in public interest to impose new taxes or hike existing ones. Therefore, we are rejecting the proposals,” said Yogender Chandolia, chairman of the Standing Committee.
Chandolia said that MCD must increase its financial standing but it should not be done at the cost of increasing financial burden of the people.
He said that one way of increasing income would be to bring more properties under the tax gambit so that they end up paying taxes.
BJP state president Vijender Gupta was present as a special invitee and rubbished the proposals made by Mehra.
“The BJP-ruled MCD during the last four years have successfully increased revenue collection from Rs3,000 crore to Rs7,000 crore without imposing any new taxes. We will continue to do so,” he said.