Nation Current Affairs 14 Nov 2018 BBMP’s propert ...

BBMP’s property tax drive floundering

Published Nov 14, 2018, 2:49 am IST
Updated Nov 14, 2018, 2:49 am IST
BBMP was aiming to collect an additional Rs 500 through this survey.

Bengaluru: It is almost eight months since the BBMP presented its budget, but its ambitious plans to boost property tax collection is floundering.

Under its Total Station Survey the Palike was supposed to select 100 buildings in each of eight zones to identify owners who have provided wrong declarations of their properties and make them pay the actual property tax.


But this plan is yet to take off. BBMP was aiming to collect an additional Rs 500 through this survey.

For the financial year 2018-19, BBMP has set a property tax target of Rs 3,100 crore. However, till October, the standing committee on taxation and finance was able to mop up only Rs 1,989 crore and only four months are left.

The Total Station Survey was introduced in 2017 under the chairmanship of corporator M.K. Gunashekar. The survey identified that 59 high rise buildings and tech parks have provided false declarations. While the actual property tax for these structures stood at Rs 809 crore, they had paid only Rs 608 crore. 


BBMP officials were told to collect the difference amount in property tax and interest from the defaulters, but they have not made any significant progress, a BBMP official said. That is the reason why they have not yet kicked off the second phase, he added. 

Regarding poor property tax collection, the official said, "Usually the tax collection picks up only during the last four months before the end of financial year. We are expecting to witness a spike from December."

Keeping the total station survey in mind we have pegged the total collection at Rs 3,100 Cr. As nothing has mobilised yet this may affect the total collection, he added.


Location: India, Karnataka, Bengaluru