• New waiver policy on property tax rolled out from August 1: Kolkata civic body
    Indian Express | 5 August 2024
  • The Kolkata Municipal Corporation (KMC) has rolled out a new waiver policy on property tax from August 1, officials said on Friday. During the Covid-19 pandemic, the KMC started giving massive waivers on property tax so that those with large dues can pay their property tax, while increasing the civic body’s revenue.

    Claiming that such waivers would no longer increase revenue, a senior KMC official said, “Those who are defaulters for more days will have to pay more tax and those who are defaulters for a short period will get more waivers”.

    KMC sources said the implementation of the new waiver scheme, that was due from April 1, was deferred as the model code of conduct was in place due to the Lok Sabha elections. The waiver scheme’s tenure got carried over from March 31 to July 31.

    According to the new policy, those who are defaulters for less than two years, they will get 99% waiver on fine and 50% waiver on interest. Those with a property tax due for two to five years will get 75% waiver on fine and 45% waiver interest. Any defaulter with property tax due for five to ten years will get 50% waiver on fine and 40% on interest. If a defaulter’s property tax is due for more than ten years, the waiver will be 25% on fine and 35% on interest.

    “Generally one section of people have a tendency not to pay property tax timely and they wait for a waiver after the delay,” said a KMC senior official, adding that it has increased KMC’s dues and hampered revenue collection.

    Pointing out that the new policy requires defaulters to pay more tax if they have longer dues, the official said that it would compel “people to pay property tax on time or at least within two years to avoid unnecessary fines”. The official added that this might increase KMC’s revenue.

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