BBMP’s advance property tax illogical: HC

The High Court has put the onus on the BBMP to decide on complaints that its current method of computation and collection of advance property tax is unscientific. A PIL had also challenged what it termed as penalising honest tax payers. A notification of the civic agency issued in March this year was challenged. Now the HC has asked the BBMP to consider the representation by the concerned citizens and decide about the issue.

The Bharatha Surachana Manadala, an organisation fighting for civic rights, filed the PIL in the HC. The organisation cited before the HC that the March 9 notification of the BBMP specifying property tax on buildings and vacant lands. Advance tax for the year 2016-17 has to be paid before April 30 to avail of 5 per cent rebate. Tax paid after that invites two per cent penal interest per month after that.

Since the payment was online, it was pointed out that any excess amount paid as tax could not be adjusted later. An application had to be made which would be resolved in 90 days and then the transfer of excess amount to the property owner would be made. The amount would not have any interest on it.

The petition pointed out that during the course of a year, the use of property changes. A tenant may exit occupancy for example, but the owner would have already paid advance tax for the entire year. Therefore the “present system of collection of advance property tax is not scientific resulting in disproportionate revenue and collecting unnecessary tax from its citizens,” the petition said.

The PIL further claimed that honest tax payers are made to suffer under this system.

Credits Bangalore Mirror

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