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This is an archive article published on November 13, 2009

Five yrs after new tax system,civic body calls for suggestions

Five years after the Municipal Corporation of Delhi adopted the “more people-friendly” system of Unit Area Method for calculating house and property tax...

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Five years after the Municipal Corporation of Delhi (MCD) adopted the “more people-friendly” system of Unit Area Method (UAM) for calculating house and property tax,the Municipal Corporation Committee has decided to invite suggestions from individual property owners,Resident Welfare Associations and co-operative group housing societies on the classification of land,fixation of its value and other issues.

The system had witnessed prolonged protests from many citizen groups on the ground that it favours the well-heeled and the landlords,placing houses owned by financially weaker sections in upscale colonies at the same level as those owned by the rich.

In UAM,all similar and similarly located properties are assessed the same way and are subject to the same rate of taxes.

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Under the system,the civic agency has categorised the 1,935 colonies in the Capital into seven categories — from A to G — with an additional category H for urban villages.

According to the system,unauthorised colonies will fall in the same category as their neighbouring authorised colonies.

Similarly,farm houses would be assessed for property tax with respect to their covered areas,and that too at the rate prescribed for their neighbouring areas,which might be villages.

The civic body has now invited suggestions regarding the classification and rates of occupied as well as vacant land and buildings.

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“It is a sort of review of the Unit Area Method — whether a property owner thinks the tax rate charged for his property should be increased or decreased,” said Deep Mathur,spokesperson,MCD.

Residents can send in suggestions to the committee office in Lajpat Nagar by the end of this month.

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