Proposal for hike in Ghaziabad house tax cleared
The executive committee of the Ghaziabad municipal corporation cleared a proposal for a 5% annual hike in house tax .noida Updated: Jun 22, 2016 23:37 IST
The executive committee of the Ghaziabad municipal corporation on Wednesday cleared a proposal for a 5% annual hike in house tax and allowed a rebate on tax payment in four slabs for the current financial year.
The proposal for a hike of 5% cleared on Wednesday had originally come up for discussion during a previous board meeting held in November 2014.
“The hike of 5% will be for every subsequent year till a new decision is taken. Since the cost and expenses in daily operations are rising and revenues are limited, the proposal was cleared to bring in more revenue. We have also decided to allow rebate in four slabs, depending on the period in which a resident pays tax,” said Ashu Kumar Verma, Ghaziabad mayor.
The corporation estimates that nearly 2.8 lakh properties fall under its jurisdiction in the five zones of Ghaziabad. Presently, residents pay 10% house tax, 10% water tax and 4% sewer and drainage tax to corporation on bills raised.
The amount of house tax is calculated on the basis of annual rental value (ARV) of different properties, which is dependent on the rate per feet decided by the corporation.
Last year, the corporation had decided on a hike of 10% in house tax after a gap of 14 years. Before that, the corporation had prevalent rates of 0.60p, 0.75p, 0.90p, Rs. 1, Rs. 1.25, and Rs. 1.5 per feet for various properties to calculate the ARV. The rates will now be hiked by 5%, which will affect the tax amount to be paid.
The executive committee also cleared the four slabs under which differential rebate will be allowed upon tax payment.
Earlier, a flat 20% rebate was offered till November 30. Now, the corporation has decided to allow rebate in four slabs. The first slab will offer a 20% rebate if tax is paid between April and July. The second payment period from August to September will offer 15% rebate. The third, from October to November, will allow 10% rebate and from December to January next year will allow 5% rebate.
“Since June has almost come to an end, this year we will allow the 20% rebate up to August. Similarly, the second rebate slab will be effective only for September. The remaining slabs will remain the same this financial year,” the mayor said.
First Published: Jun 22, 2016 23:37 IST