The BBMP has hiked property tax rates by 40 percent in one go. As if that was not enough, it has revised the zonal charges at the same time, imposing its own failures of policy-making and finance on already burdened citizens. And all this while holding out no promise of any improvement in its functioning or the services it provides citizens. Ask the BBMP why, and its answer is: This is how we did it last time, too! Interview with M. Venkatachalapathy, Deputy Commissioner (Revenue).
Chat room
The increase in the property tax slab is about 40 per cent if you factor in the zone revisions. What was the need for such a steep hike?
A: This was not our decision. We were simply following the provisions of Section 108 A of the KMC Act which requires a minumum increase of 15 per cent. Property tax slabs are supposed to be revised once every three years, but the last revision took place in 2000.
Why did the BBMP feel the need to change the slab and revise the zones simultaneously?
A: Revised zonal classifications are required as the city grows. Otherwise the system is not equalised. This is how we went about it the last time as well.
The BBMP is expecting an additional Rs1000 crore in property tax. What does it plan to do with this?
A: You need to ask it (laughs)
The BBMP is also bringing in new methods of payment.
A: We have introduced an online system of payment this year. All funds will have to be credited to Canara Bank, irrespective of the mode of payment. We have also introduced a helpline, which is already in use.
Online payment looks good on paper, but is a hassle to those who use it. Trouble accessing the website and money not beingcredited to the concerned account are common problems?
A: Over three lakh people make online payments every year. The system has worked smoothly since 2000. Last year we collected Rs 300 crore throught this mode of payment. Why should we assume there will be a problem now?
What spurred the decision to shift the focus to online payment?
A: Simply because it’s easier for the people. Earlier, they had to run between the Corporation office and the bank. Now they can make the payment and get their receipt without leaving their homes. Cheques will be accepted, but the receipt will be given three days later after the payment has been realised. We are discouraging people from paying by cheque because we would like to shift the focus to newer methods.
Is this driven by the number of cheques that bounce each year?
A: No. That doesn't happen anymore.
Despite numerous awareness drives urging people to pay property tax, the BBMP has not been able to achieve a 100 per cent success rate. What is being done about this?
A: That's one of the reasons why we're going in for online payments. It makes it easier for the customer and BBMP employees too get some relief. We're hoping that making the process more convenient will enhance the rate of collection.
