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This is an archive article published on January 22, 2011

New system,old problem: Property tax bills set for delay

Admitting that it cannot complete the assessment of one lakh properties and send property tax bills as per the new capital value-based system by April.

Admitting that it cannot complete the assessment of one lakh properties and send property tax bills as per the new capital value-based system by April,the Brihanmumbai Municipal Corporation has yet again asked the government for a deadline extension.

With effect from April 2010,the government had made it mandatory to switch to capital value-based property tax assessment from the existing rateable value-based system. The BMC,however,could not measure all four lakh properties in the city and sent bills as per the old system in April 2010. The difference between the rateable value and capital value was to be settled in the bill for financial year 2011-12.

SS Shinde,Joint Municipal Commissioner,said that as per the Mumbai Municipal Corporation Act,the civic body had to assess the capital value of every property in the city by March 31,2011,and send a notice to each property tax payer informing him about the capital value of the property and the new system. As one lakh properties are still to be measured,the BMC has requested the government to issue an ordinance allowing the civic body to extend the deadline for sending the notices.

“We cannot issue the bills as per the old system a second time this year. We will send them as per the new system whenever all the bills are ready. This could be as late as September. We have requested the government to extend the deadline,” said Shinde. Shortage of staff has hit the BMC assessment and collection department. Around 300 ward inspectors have been asked to measure one lakh properties. “How can 300 inspectors measure 10 lakh units? The higher officials are not accepting our demands to outsource a part of the work nor is it accepting our demands for monetary incentives. We are being pushed in to census and election duty. How can we do so much?” said an official from the new tax cell of the department.

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