Posted at: Aug 11 2015 2:33AM
Civic body to start collection of tax from Aug 12 at e-Sampark Centres and SBoP, OBC
Tribune News Service
Chandigarh, August 10
Amid political pressure on house tax, the UT Administration has now decided to provide 40 per cent rebate to city residents who pay their house tax within two months.
Earlier, there was a proposal to provide only 25 per cent rebate. The UT and the MC are eyeing around Rs 20 crore revenue from house tax.
The residents can pay house tax from August 12 at all e-Sampark Centres and all branches of the State Bank of Patiala (SBoP) and the Oriental Bank of Commerce (OBC).
The UT Administration has also partially exempted defence personnel (serving and retired), widows and differently abled persons form paying house tax. These categories have been exempted from paying house tax on land up to 300 sq yard. Defence personnel had demanded that they should be given complete exemption from house tax on the pattern of Punjab and Haryana.
The Administration has also removed double taxation on the plot area. Earlier, it had proposed to calculate tax on the entire plot area as well as on the covered area of the property. However, now the UT will charge tax on the vacant plot area instead of the full plot along with tax on the covered area of the property.
The house tax has been imposed from the assessment year 2015-16 except for any residential house/flat having an area less than 500 sq ft.
All residential houses situated in colonies and villages under the municipal limits have been exempted from house tax.
What leaders say
"No file pertaining to house tax was shown to me. Neither did I sign any file nor was any such file forwarded to me by the Administration and MC officials. It seems the Administration has decided to finish the only elected body of the city." Poonam Sharma, mayor
"A meeting of Congress leaders and councillors has been called for Tuesday to chalk out the strategy on the house tax issue. The stand taken by the Congress against the imposition of house tax has resulted in a 40 per cent rebate on the tax offered by the UT Administration" Pardeep Chhabra, city Cong chief
"The UT should have fully exempted defence personnel from paying house tax instead of giving partial exemption. If Punjab and Haryana can exempt the defence personnel from paying house tax, why are the UT and the MC shying away. The decision of the UT is not acceptable" Maj DS Sandhu (retd), nominated councillor
Exempted categories
- No house tax will be levied on residential land and buildings up to 300 sq yards owned and self-occupied (no portion is let out) by the following categories of persons:Persons who had served or are serving in any rank, whether as combatant or a non-combatant, in the armed forces, widows and differently abled persons.
Self-assessment scheme introduced
- For the benefit of taxpayers, a self-assessment scheme has been introduced by the MC from August 12 toFebruary 8, 2016.
- Pay property tax within 60 days from the start of the self-assessment scheme (August 12 to October 10) and get 40 per cent rebate
- Pay property tax from 61 days to 120 days from the start of the self-assessment scheme (October 11 to December 9) and get 30 per cent rebate
- Pay property tax from 121 days to 180 days from the start of the self-assessment scheme (December 10 to February 8, 2016) and get 20 per cent rebate
Double taxation clause removed
- Against the earlier proposal of calculating the tax on the entire plot, now the MC will calculate the tax on the vacant area of the plot. For the purpose of calculating the tax payable on the plot area, only the vacant plot area outside the constructed area of the ground floor will be counted. For example, for a plot area of 500 sq yard and a constructed area of 300 sq yard, the vacant plot area will be (500 sq yard – 300 sq yard = 200 sq yard) on which the tax will be calculated.