HC directs Collector-led panels to review property tax assessments

Observing that there was laxity in the collection of property taxes due to largescale corruption in village panchayats and Revenue Department, the Madras High Court on Wednesday directed the Rural Development and Panchayati Raj Secretary to constitute taxation committees headed by Collectors in every district to review property tax assessments already made by subordinate authorities.

Passing a series of directions in this regard, Justice SM Subramaniam also sought the Secretary to publish the list of property tax defaulters and the amount of arrears to be collected at the Collectorate as well as the department website.

The other directions included holding monthly review meetings to insist on progress in verifying the property tax assessment and its collection, and action taken against erring officials under Service Rules and criminal law.

The court passed the directions while disposing of a plea moved by SSM Engineering College, Namakkal,

seeking to call for the records relating to the demand raised by Thattankutti village panchayat on March 26, 2015, and quash the same in so far as it relates to collection of surcharges as contemplated under Tamil Nadu Panchayats Act, 1994.

However, Justice Subramaniam set aside the contentions by the college and said there was largescale corruption involved in assessing property tax. Officials of the Revenue Department and village panchayats were being bribed for assessment of the property tax at a lower rate, it said, and added that there were also lapses in tax collection by bill collectors and other employees.

“The High Court is not expected to close its eyes, as largescale non-collection of property tax across the State is the crisis. High Court, being the custodian of the Constitution of India, is obligated to initiate appropriate action to ensure that the constitutional principles and mandates are being followed by the executives and all concerned scrupulously,” the court remarked.

Publish the list of property tax defaulters and the amount of arrears to be collected at the Collectorate as well as the department website – Justice SM Subramaniam