PMC gives green signal to 6% hike in property tax
The Pune Municipal Corporation has recently given green signal to the hike of 6% in property tax. It will definitely put a lot of pressure on the citizens.
With the hike in property tax, PMC is expecting an additional revenue of Rs 40 crore. Maharashtra NavnirmanSena had joined hands with NCP to put a stay on tax hike.
As per the civic administration, it was necessary to increase the tax to increase revenue from taxes and other sources, considering the cost escalation in developmental projects. Also, the expenditure on providing civic amenities like water supply and sewage treatment is also high.
Property tax is one of the main sources of revenue for the PMC. The tax department handles the billing and collection of property tax on residential and commercial, plots and other types of properties in Pune.
Earlier, the civic body had proposed to increase property tax by 8% for 2013-14 to standing committee and after discussion it came down to 6% after a meeting last month.
The proposed 8% hike had added more revenue to the civic body which was estimated at Rs 3,605 crore. But with the current hike, it is not going to make any substantial contribution to the civic body.
The 6% hike that has been approved will push up the revenue by around Rs 40 crore whereas the 8% hike had given Rs 52 crore. Also, the proposal of hike in property tax was accepted to ensure sufficient revenue for development projects in Pune.
Also, Sajag Nagrik Manch, a citizen group, had opposed the said hike in property tax for properties in Pune. However, the municipal commissioner wants the hike to be implemented which can be done by pushing up the general tax structure which is also a part of the property tax.
Around six lakh residential properties, 75,000 non-residential properties and around 24,000 open plots in Pune who are entitled to pay property tax. The civic body offers discount to property owners who pay tax before May 31.
Click here for related forum discussion
Related Real Estate News:
Hike on Pune property tax postponed by PMC
Pune property tax hike opposed by citizens
Pune property tax to be hiked by 6%
Hike in property Tax, hike in property tax in Pune, municipal corporation in Pune, PMC, PMC Pune, projects in Pune, property tax, property tax for properties in Pune, property tax in Pune, Pune, Pune Municipal Corporation, Pune Property Tax, Pune property tax hike, Residential properties, revenue for pune corporation, Right to Information act
