Updated: March 13, 2021 2:23:52 am
To meet its target of property tax collection, the BMC has sent notices of attachment to the owners of 5,720 commercial and industrial properties as well as private open plots, who have defaulted on their dues for years.
Owners of residential properties, however, will not face attachment or disconnection of water supply but have to pay two per cent penalty above their dues.
According to the officials of BMC’s assessors and collection department, these 5,720 defaulters owe the corporation Rs 2873.99 crore.
“After sending notice of attachments, the next step is to auction the properties. Due to Covid-19, action was delayed but now we are pushing hard to meet our target,” said an official from BMC.
He added, “We have decided not to disconnect water connection of residential properties. The pandemic has impacted the normal life of people… considering that water connection will not be disconnected but two per cent penalty will be levied on dues.”
Officials said that in all, property tax dues over Rs 15,000 crore are pending due to disputes and litigations. For 2020-21, the civic body had set a target of recovering Rs 1,500 crore from these disputed cases. However, so far, it has only collected Rs 619 crore.
Property tax is the second biggest source of revenue for BMC. Recently, the civic body has appointed valuers and made policy for holding auctions. “So far, we have attached properties but no auction has taken place due to the absence of any law. Now, with the help of the valuer, we can come up with the base price for the property and then an auction can be held,” said another official.
Last year, the civic body has seized 3,546 properties of defaulters. On March 8, BMC had reported a record one-day property tax collection of Rs 416 crore. So far, it has collected Rs 3,486 crore against its revised target of Rs 5,200 crore for 2020-21.
📣 The Indian Express is now on Telegram. Click here to join our channel (@indianexpress) and stay updated with the latest headlines
- The Indian Express website has been rated GREEN for its credibility and trustworthiness by Newsguard, a global service that rates news sources for their journalistic standards.