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MP’s major political parties, tax defaulters of BMC

The Bhopal Municipal Corporation (BMC) is contemplating action against two major political parties of the state--- the ruling BJP, and the Congress—as they are found to be among the top property tax defaulters in the city.

Published on: Oct 9, 2016, 14:30:33 IST
Purvi Jain, Hindustan Times, Bhopal | By
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The Bhopal Municipal Corporation (BMC) is contemplating action against two major political parties of the state--- the ruling BJP, and the Congress—as they are found to be among the top property tax defaulters in the city.

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“The corporation will take necessary action against political parties that have failed to clear their outstanding property tax dues,” mayor Alok Sharma told the HT.

The BJP and the Congress collectively owe the BMC more than Rs 1 crore.

BMC sources said Congress was yet to pay property tax amounting to Rs 60 lakh while BJP’s due was Rs 46 lakh.

“According to BMC rules, no political party is required to pay property tax for their office space. But if the parties rent out some part of their office for commercial use, they need to pay the property tax,” said a BMC official, seeking anonymity.

He said almost all the parties in the state sublet certain parts of their office building for commercial use.

The HT recently revealed that Central and state government offices collectively defaulted on paying service-cess amounting to Rs 51 crore to BMC.

All government offices and educational institutes are exempted from paying property tax but they have to pay service cess, which is a consolidated tax for sewage, garbage, water, fire and cleanliness.

According to BMC sources, 94 central government offices were yet to pay service-cess of Rs 31 crores, while 118 state government offices defaulted on paying Rs 20 crore to the corporation this fiscal.

General post offices located in New Market, Royal Market and Maida Mill, office of the Accountants General, Bharat Sanchar Nigam Limited, M.P Rajya Tilhan Sangh, Bhopal Development Authority, Vyapam (MP Professional Examination Board) and Madhya Pradesh Transport Department are some of the major tax defaulters with a pending cess of more than Rs 10 lakh each.

To recover the dues, BMC commissioner Chhavi Bhardwaj recently even issued warrants of attachment against those offices whose arrears crossed Rs 10 lakh.

The BMC is now contemplating taking similar strong measures against political parties too.

Meanwhile, Congress state spokesperson Deepti Singh told HT, “We will pay our dues, but we want that mayor should also take necessary action against the BJP and the third front parties, which are also major defaulters.”

Sing further alleged that there were many builders in Bhopal who were not paying property tax after getting BJP’s backing. “I would like to ask, will BMC take action again them too?” the Congress spokesperson asked.

BJP, on its part, said it would soon clear the dues and cooperate with the BMC.“Congress is always pointing fingers at us as it has no other work. But we will go by the rules and cooperate with the BMC,” said BJP district spokesperson Rajendra Gupta, refuting the charges of backing the builders.