PMC draft budget: 15% hike in property tax proposed; recession-hit realty sector plunge revenue target
The PMC had kept the target of Rs 1,165 crore from development charges, to be collected from the realty estate sector. However, PMC was able to get only Rs 339.88 crore till December end.pune Updated: Jan 22, 2018 22:13 IST
Pune municipal commissioner Kunal Kumar on Monday presented the draft budget of estimate Rs.5,397 crore for the year 2018-19. Kumar proposed 15 per cent hike in property tax for the next fiscal.
With the recessionary market keeping the reality sector away from announcing any major projects, thereby not contributing much to the PMC revenue, the commissioner presented the budget that is less than Rs.203 crore as compared to the 2017-18 annual draft budget. This cutback estimate in the draft budget has not happened in the recent years.
The PMC had kept the target of Rs.1,165 crore from development charges, to be collected from the realty estate sector. However, PMC was able to get only Rs.339.88 crore till December end. The civic body is expecting to get Rs.450 crore till March 31, 2018. Yet, the gap has been a major setback for PMC.
Kumar presented the budget to the standing committee chairman Murlidhar Mohol and the standing committee will prepare the final budget on the basis of draft budget prepared by PMC.
If the standing committee rejects the 15 per cent hike in property tax, the figure will further come down by Rs.200 crore.
While presenting the budget, Kumar said, “Instead of suggesting any new works, the municipal administration should give priority to complete the ongoing projects in the next fiscal. The PMC administration had given priority to key sectors suggested by citizens.”
Kumar said that citizens had given priority to sustainable transport service and infrastructure, equal water distribution, solid waste management, housing for all, safety for all and environment. He said that the civic administration has planned to allocate funds as per citizens’ expectations.
First Published: Jan 22, 2018 21:37 IST