Hindustan Times (Noida)

As losses double, north body proposes hike in property tax

NORTH MCD BUDGET Deficit to be ₹1,300cr, up from ₹550cr in current fiscal

- Vibha Sharma vibha.sharma@htlive.com

NEW DELHI: The North Delhi Municipal Corporatio­n has proposed to increase the property tax in its budget estimates for the next fiscal year to cope with the losses that have more than doubled over the past fiscal.

In 2019-20, the projected deficit is proposed to be ₹1,300 crore, which has spiked sharply since this financial year when losses were ₹550 crore while in 2017-18, the losses were ₹300 crore.

In the budget proposals for 2018-19, there is a proposal to increase 1% tax on properties falling under category A to E; and 2% on properties falling under category F to H.

Area categories are based on the developmen­t in each area, and the civic services provided to it, with Category A being the highest and H, the lowest.

There is also plan to increase property tax on special non-residentia­l properties such as hotels and eateries by 5%.

North corporatio­n commission­er Madhup Vyas also proposed to levy two new taxes — betterment and profession­al.

“Increase in property tax and the two new taxes will help us generate ₹100 crore more,” said Vyas.

The proposals will have to be ratified by the house of elected councillor­s and the standing committee before implementa­tion.

“The last time the unified MCD had approved increase in house tax on residentia­l properties was in 2010-11. On properties falling under category A and B category, then the increase was 10 to 12%, in C, D and E category it was 10 to 11% and G and H categories it was 6 to 7%,” said a senior SDMC official privy to the matter.

The budget also emphasises upon revenue generating projects, which will taken up next fiscal such as installing 25 charging points for e-vehicles at old or unutilised MCD’S building, advertisem­ent on DTC buses, Railways properties, smart poles and installing 800 new mobile towers.

Skill developmen­t workshops for sanitation workers and their families

Rebate of 50% on interest on education loans for children of Class IV workers

Medical insurance for sanitation workers

29 surface parking lots proposed

3 rail overbridge at Kirari, Ghevra and Narela Mandi for a cost of ₹287 crore

Corporatio­n’s websites to be

WELFARE SCHEMES

To help the sanitation workers and their families, the North MCD has proposed to organise skill developmen­t workshops next year and allocated budget of ₹50 lakh for the purpose.

“In order to bring the children of sanitation workers into mainstream, the civic agency has also proposed to pay 50% of interest on the loan amount taken for the purpose of medical, engineerin­g or other educationa­l programmes last year by Class IV employees,” said Vyas. The civic agency also announced to cover Class IV employees under health insurance.

REVENUE GENERATION

The civic agency has been following up with the Delhi Transport Corporatio­n and Northern Rail- way to share revenue from advertisem­ents.

“The proposal to place advertisem­ent over DTC buses has been finalised and the agency has also invited bids. We are having correspond­ence with them to share revenue on advertisem­ent. Similarly rounds of meetings have taken place with railway officials and things will be finalised soon,” Vyas said.

The corporatio­n has chalked out a plan to provide parking for 52,910 vehicles by 2021 by developing 42 surface parking to accommodat­e 8,495 vehicles, multilevel parkings at 13 Metro plots to accommodat­e 12,021 vehicles and 16 stack parking to accommodat­e 1,361 vehicles. At present, the civic agency has the facility to park 31,033 vehicles.

SANITATION

To ensure segregatio­n of garbage and strict implementa­tion of the Municipal Solid Waste Management Rules, 2016, the North MCD has started serving notices to bulk generate who have failed to segregate and dispose biodegrada­ble waste. “We have issued notices to at least 300 bulk generators alarming then to start disposing biodegrada­ble waste to avoid penal action. If they will not follow the norms then challans will be issued,” Vyas said.

OLD PROJECTS

Expressing hope to initiate work on projects that were mentioned in budget for previous years too, the civic agency shared details plans to realise these projects in phased manner. “Detail plan for redevelopm­ent of staff quarters at Azadpur (25 acres) and Model Town (23 acres) staff quarters have been prepared. We have proposal to develop 2,600 residentia­l flats of different categories at each of the place in 22 storey blocks. Likewise, a 13 storey commercial block at Azadpur has also been conceptual­ised,” the north corporatio­n commission­er said.

The North Corporatio­n has also demanded funds of ₹282.7 crore from the Union government for developing rail overbridge­s at Kirari, Ghevra and Narela Mandi.

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