No 'house tax' element in this year's budget

For the first time since the formation of Ludhiana municipal corporation, no amount has been allocated under the house tax category in the civic body's budget, which would be presented on Saturday.

The MC had proposed a budget of Rs 90 crore for house tax last year. However, that basket has been left empty this year, as the civic body is expecting the property tax to be implemented in the city from April.

Meanwhile, the already cash-strapped civic body will have over Rs 100 crore lesser in its coffers this year, as compared to 2012,

The MC budget, a copy of which is with Hindustan Times, states that the proposed budget for 2013-14 will be Rs 630.98 crore, as against Rs 741.25 crore last year, which is a steep decline from the Rs 801-crore budget proposed in 2011-12.

The decline in budget reflects the declining financial condition of the local body, which has been struggling hard to meet its needs, even by selling its properties.

The budget for General Branch this year has been proposed at Rs 440.18 crore, whereas Rs 190.80 crore have been allocated for Operation and Management cell.

The MC expects a maximum of Rs 315 crore from octroi/ share of VAT, as against Rs 280 crore last year. This is an increase of Rs 35 crore from last year. The least amount in the budget has been kept for slaughter house fee, which is Rs 4 lakh this year. It was Rs 3.05 lakh last year.

The budget for roads has been proposed at Rs 21.50 crore, for PWD roads Rs 3 crore, for bridges/projects Rs 15.50 crore, for streets and drains Rs 20.25 crore, for street lights 8.50 crore, for parks Rs 7 crore, for development of slum colonies Rs 20.25 crore, for municipal buildings Rs 4 crore and Rs 15 crore for municipal waste management.

Also, the MC has also proposed Rs 100 crore as loans from Housing and Urban Development Cooperation in the proposed budget this year.

Branch                                              Budget for 2011         2012       Budget 2013
General Administration                     R8.07 crore                R7.30 crore        Rs 7.97 crore
Octroi staff                                           R15.25 crore                R13.43 crore        R16.17 crore
Licence fee                                           R75 lakh                           90 lakh            R1.20 crore
Health                                                  R114 crore                   R97.91 crore        R87.27 crore
Building                                                R58.5 crore                R61.4 crore            R9.18 crore
Tehbazari                                             R15 crore                   R12 crore            R1.34 crore
Engineering Branch                              R41 crore                   R45.63 crore        R40.58 crore
Library                                                 R1 crore                          R99 lakh            R78 lakh
Light (street)                                        R85.7 crore                R92.2 crore        R10.08 crore
Horticulture                                          R21.75 crore                R18.12 crore        R20.43 crore
Fire brigade                                          R2.95 crore                R2.35 crore        R2.60 crore
Police                                                   R3 crore                     R4.81 crore            R3.90 crore

Head of account             proposed budget for 2013-14
Octroi/Share of VAT            Rs 315 crore
Octroi on electricity            Rs 38 crore
Advertisement Tax             Rs 4 crore
License fee u/s 343            Rs 1.30 crore
License fee vehicle            Rs 35 lakh
Slaughter house fee            Rs 4 lakh
Rent of MC property            Rs 80 lakh
Tehbazari                 Rs 3 crore
Composition fee            Rs 10 crore
Other miscellaneous income        Rs 27.89 crore
Sale of property            Rs 75 crore
Recovery of loan from employees    Rs 60 lakh
Income of O&M cell            Rs 35 crore
Additional excise duty            Rs 20 crore
HUDCO Loans/loan from banks        Rs 100 crore


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