Political leaders demand property tax be charged to commercial spaces in slums

Many slums have cake, jewellery, mobile and electronics, and spare parts’ shops which do not pay taxes to the municipal corporation

As most slums are home to flourishing commercial establishments that do not pay taxes to the municipal corporation, political leaders working in the slums are now demanding that all such establishments, except grocery and other essential commodities’ shops, be charged property tax by the civic body.

Political leaders working in the slums are now demanding that all such commercial establishments, except grocery and other essential commodities’ shops, be charged property tax by the civic body. (Pratham Gokhale/HT PHOTO)

Many slums have cake, jewellery, mobile and electronics, and spare parts’ shops which do not pay taxes to the municipal corporation. Even the municipal corporation does not have a record of all such establishments. Interestingly, many of these shops are not owned by slumdwellers but rented out.

Former deputy mayor and Republican Party of India (RPI) leader Dr Siddharth Dhende said, “I am representing the Nagpur chawl area. As per my information, there are 68 shops inside the Nagpur chawl area. Nearly 40 out of these 68 shops are grocery and other essential commodities’ shops but the rest are completely commercial establishments. For example, there are four ATM machines, one branded mobile shop and other shops.”

“The Pune municipal area has more than 500 slums and the overall picture is the same in nearly all the slums. Many commercial establishments are there but the Pune Municipal Corporation (PMC) is not charging them any tax. Former elected member Bapurao Karne and I have submitted a proposal to charge such commercial establishments in the slums. Although it is a good source of revenue, the PMC administration does not want to do anything. Even slumdwellers are eager to pay tax for commercial establishments as it will be helpful for their rent agreements,” Dhende said.

Whereas Congress leader and former corporator Avinash Bagwe said, “We are representing the Bhavani peth area. It is true that all slums have commercial shops. The PMC should carry out a survey. But while charging such establishments, the corporation should exclude grocery and essential commodities’ shops and doctors.”

A PMC official on condition of anonymity said, “It is true that many slums have well-furnished shops which include even jewellery shops. Many slumdwellers construct two to three floors and rent out the ground floor to traders. It is interesting that almost 80% shop-owners are not staying in the slums but have shops in the slums. There is a need to conduct a survey and charge these commercial establishments.”

Another civic official said, “Usually, political leaders and the administration does not dare to take any decision for the slums. But it is interesting that political leaders, mainly from the RPI and dalit leaders are demanding that the administration charge these shops. The PMC must first carry out a primary survey and make a record of these establishments.”