Bengaluru: Under fire from Opposition parties for changing property tax zones and tax rates, the BBMP, now ruled by a Congress-JD(S) combine, has put its ambitious plan to revise tax zones on hold.
The new tax rates and revised zones, were expected to rake in an additional Rs 600 crore for the cash-strapped BBMP. Now, irrespective of the zone, residents of all 198 city wards will have to pay only 20 per cent and 25 per cent tax for residential and commercial properties, respectively. With this, the Palike has set to rest the confusion among citizens over the revised tax rates.
Addressing a press conference on Thursday, mayor Manjunath Reddy assured Bengalureans that there would be no confusion over tax zones. “For the next three years, citizens can continue to pay property taxes as per the old zones they were living in.
After three years, taxes will have to be paid as per the revised zones. Those who have already paid taxes, need not worry as the excess money will be refunded or adjusted in next year’s tax,” Mr Reddy said.
The mayor blamed the BJP for the tax fiasco saying they had created fear in the minds of Bengalureans. “Technically, zones have changed only by a zone. For instance, residents of D zone became residents of C zone, F zone residents came under the E zone net.
There was a significant increase in some tax zones, I agree it was huge in some areas. However, we were forced to put the revision on hold as BJP misled citizens. People were made to believe they will have to pay a lot more, which is far from the truth,” he said.
