No hike in your property tax, ruling NCP keeps its promise

Rates on properties have not been increased taking into account the recession

CBD BELAPUR: Residents may heave a sigh of relief as they will not have to pay higher property tax for the next year.

The standing committee of Navi Mumbai Municipal Cor poration (NMMC) on Thursday approved the property tax rates for the financial year 2016- 17 without any increase from last year’s rates.

The administration has said that the rates on residential and commercial properties have not been increased taking into account the prevailing recession.

Standing committee chairperson Netra Shirke said that the ruling Nationalist Congress Party is fulfilling the promise of no hike in taxes in the city for 20 years.

According to the approved proposal, the tax on residential properties will be 32.67% of their rateable value while for commercial and industrial properties it is 53.33%.

Shiv Sena corporator Shivram Patil sought information on various government and semi-government organisations with respect to payment of property tax.

Deputy municipal commissioner (property tax) Prakash Kulkarni said, “Taking into account the financial position of the civic body, tax increase was expected. However, we have not sought any increase.”

He said, “Keeping in view the national and global business scenario, we do not want to put additional burden on the residents, entrepreneurs and industrialists. We want to further promote trade and commerce in the city and increase employment opportunities. Hence we have decided to continue with last year’s rates.”

He said, “Last year, we had a target of Rs575.94 crore, of which Rs161crore are in arrears.”

Following the presentation of the budget on Monday, the NMMC presented a resolution to the standing committee for approval.

Under the Bombay Provincial Municipal Corporations (BPMC) Act 1949, Section 99, a civic body is required to finalise its tax rates before February 20 of the current financial year for the next financial year.

This has to be done through a proposal to the standing committee or the general body, held before the deadline. It was in this context that the administration put forth the proposal for tax rates approval for the year 2016-17.

ACCORDING TO THE APPROVED PROPOSAL, THE TAX ON RESIDENTIAL PROPERTIES WILL BE 32.67% OF THEIR RATEABLE VALUE