Municipal Corporation of Gurgaon engages banks to recover tax

The Municipal Corporation of Gurgaon (MCG) has decided to go ahead with its plan to recover pending house tax bills despite stiff resistance from residents over claims of "double taxation".

The Municipal Corporation of Gurgaon (MCG) has decided to go ahead with its plan to recover pending house tax bills despite stiff resistance from residents over claims of "double taxation".

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As part of its efforts to recover a whopping Rs 600 crore in house tax dues, accrued since the corporation's inception in 2008, the civic body has requested public sector banks to dedicate a total of 100 branches for depositing the tax.

On Friday, the MCG held a meeting with officials of the Oriental Bank of Commerce (OBC) to execute its proposed plan in this regard.

Making it clear that residents are bound to pay the house tax, the MCG commissioner Vijay Singh Dahiya said that OBC will open 20 branches as tax collection centres to start with.

In the meeting, the bank officials were also made aware of the MCG' self assessment scheme for tax payers.

The MCG is expecting the recovery of house tax from at least four lakh properties in Gurgaon.

According to the MCG's assessment, more than Rs 200 crore of outstanding tax can be recovered if objections are taken care of. These objections range an error in the name and address of the property owner to discrepancies in calculation of tax.