Gurgaon: A day after auction warning, MCG collects Rs 23 lakh in property tax
The Citizen Facilitation Centres (CFC) at the MCG offices in Sector 34 and Civil Lines were full with taxpayers on Wednesday and, owing to the large queues, MCG officials had to erect extra counters and depute more officials for efficient collectiongurgaon Updated: Apr 19, 2017 22:57 IST
A day after Municipal Corporation of Gurugram (MCG) officials said they will auction properties of tax defaulters, the civic body recovered Rs 23 lakh in tax payments.
The Citizen Facilitation Centres (CFC) at the MCG offices in Sector 34 and Civil Lines were full with taxpayers on Wednesday and, owing to the large queues, MCG officials had to erect extra counters and depute more officials for efficient collection.
After incurring a Rs 104 crore deficit in property tax collection this fiscal, the MCG took a firm stand with defaulters and issued a warning on Tuesday stating that properties of owners who fail to clear tax dues will be auctioned on May 20.
For Vinit Singh Bharadwaj, a resident of Sector 14, whose father is a retired major subedar and is exempted from paying property tax, paying a sum of Rs 2,500 was a safer option than haggling with MCG officials who reassessed the property tax bill.
“My father has served in the Indian Army and, as per provisions of the Haryana government, his property is exempted from the purview of tax. However, each year my family gets a property tax bill which requires multiple visits to the MCG and submission of requisite documentation for clearance. However, that is a time-consuming process and, after learning that MCG is auctioning properties of defaulters next month, I paid the dues listed in the property tax bill rather than risk the possibility of an auction and go through the hassle of clearing the confusion with MCG officials,” Vinit said.
The MCG has sealed over 150 buildings so far this year and has sent attachment notices to more than 700 property owners who failed to clear their dues.
As per MCG officials, 141 defaulters have cleared their dues by paying over Rs 1.83 crore cumulatively as property tax. They said owners need to clear their dues by May or their properties will be auctioned.
“Wednesday’s high property tax collection is encouraging and MCG officials are hopeful that the list of existing defaulters will shorten significantly before May 20 as residents will clear their dues and avoid penalization and levying of 18% annual interest,” SS Rohilla, spokesperson of MCG, said.
Property tax payers can avail of a 100% waiver on interest as well as a 25% discount on the amount by making their payments before April 30.
Till April 1, the MCG had collected only Rs 294 crore in property tax for 2016-17. In 2015-16, it had collected Rs 398 crore.