The civic body has collected around Rs 1,900 crore as street tax in the past five years to maintain roads in the city. But the pothole-marked roads are evidence of the work being carried out. Now, the civic body plans to collect around Rs 530 crore in this financial year.
This tax is a component of the property tax that citizens pay every year. Street tax is 15% of the rateable value of a property.
As per the Mumbai Municipal Corporation Act, 1888, street tax can be collected for “construction, maintenance and improvement of streets”. Figures accessed by HT show that the amount increased from Rs216.42 crore in 2005-06 to Rs 366.49 crore in 2009-10. The amount in 2010-2011 is more than Rs 400 crore.