South Delhi civic body proposes to hike tax, cut rebate to increase revenue
The South Delhi Municipal Corporation has also pinned hopes on its door-to-door drive to identify tax defaulters. This year’s budget didn’t have new announcements as the focus remained on the completion of previous projects.Updated: Dec 05, 2018 12:21 IST
In an effort to increase revenue, the South Delhi Municipal Corporation (SDMC) on Tuesday proposed to cut rebates and increase property taxes in its budget for the next fiscal. However, such proposals are subject to approval from the House, which had previously forced the withdrawal of similar moves, said a senior SDMC official privy to the matter.
The civic body, in addition to steps to increase revenue , has also pinned hopes on its door-to-door drive to identify tax defaulters.
“The SDMC has identified two lakh properties, where commercial meters were installed but their owners were paying taxes as per residential slab rates,” said SDMC commissioner Puneet Goel. The body is also in the process of collating data on tax defaulters, an exercise they hope to complete by May next year. Till May 31, 2018, SDMC identified 1.83 lakh new tax papers. “We have already served notices to 87,537 properties for payment of pending property tax.”
“This year, we were successful in collecting property tax from 400 government properties such as schools, the zoo, paramilitary forces offices and Delhi Police buildings. Talks are going on with other departments to pay service tax,” said Goel.
Cap on rebate
Those submitting the property tax on time will now enjoy a rebate of 10%, down from 15%, as per SDMC commissioner. He has also proposed to reduce the same rebate given to physical challenged, senior citizens and women from 30% to 20 %.
“We have even planned to reduce the plot size from 200 to 100 square metre on which physically challenged persons, women or senior citizen are given rebate,” said a senior SDMC official. The proposal also included ending the 20% rebate given to group housing societies on timely submission of taxes.
Focus on old projects
This year’s budget didn’t have new announcements for the resident of south Delhi as the focus remained on the completion of previous projects.
Projects such as construction of waste to energy plant at Tehkhand, installing of digital display boards at 11 markets, construction and waste plant at Bakkarwala, engineered landfill site at Okhla, operation of Purnima Sethi Multi-speciliaty hospital, science clubs, seven wonders park near Sarai Kale Khan, seven sewer treatment plans for irrigation of parks and installing Radio Frequency identification system at borders for collection of toll tax were announced in previous years and are yet to be completed.
“It would be unfair to announce new projects without completing old ones. However, certain sectors like education, environment and pollution have been given attention in this budget also. We decided to increase number of nurseries sections, aid for education of girl child from R 500 to R 1000 and helpline number to aware parents about kids’ performance,” said Goel.
The budgetary allocation currently reads 15.12% for general administration, 18.15% for education, 7.19% for public health, 25.47% for sanitation, 16.03% for engineering, among others.
First Published: Dec 05, 2018 12:21 IST