Residents raise a stink over GHMC’s tax revision

​Hyderabad: Residents across the city are crying foul over the manner in which the Greater Hyderabad Municipal Corporation has been taking up the property tax revision.

Residents whose property tax was decreased from Rs 1,200 to Rs 101 allege that revenue wing officials at the ground level have revised the value of properties without even measuring the plinth area.

The corporation, which suffered a loss of about Rs 80 crore with the State government's decision to decrease property tax of about 5.4 lakh houses from Rs 1,200 to Rs 101 before the GHMC elections, has now generated Rs 75 crore in the name of re-assessment from 2,05,087 properties, and revised and issued special notices to 1,88,921 properties.

TR Madhavan, a resident of Happy Homes of Rajendranagar circle said “We strongly object to the revised property tax which is on the higher side. As per the GO No 6, dated 5 January 2016, the residential building occupied by the owner, wherein the annual rental value does not exceed Rs 4,100 and who have been paying property tax of Rs 1,200 per annum, shall pay a nominal amount of Rs 101 per annum.

There's no mention in the GO that flats are not eligible for such concession in property tax.” He said, “If the flats were not eligible for the nominal amount property tax, why did the GHMC collect it during the last financial year. And now, during the fag end of this financial year, it had revised it to between Rs 1, 200 to 1, 800 per annum and issued notices,” he asked.

Echoing his concern, K Niranjan, a resident of Baghlinghampally alleged that the bill collectors did not even check the area of the building and sent a notice that the property tax has been re-assessed and it would not come under Rs 101 property tax scheme.

He said when the issue was brought to the notice of senior officials, they have asked us to submit the building plan and clear at least 50 per cent of the property tax dues. “Even though property tax has been revised, I do not understand why the corporation wants to collect the penalties of the past three years,” he added.

Meanwhile, highly placed sources in the corporation said the bill collectors at the ground level have been indulging in high level corruption and targeting the deprived and subjecting them to untold problems.
A senior revenue wing official told The Hans India that the corporation had not revised the property tax rates after 2008.

He said that per sqft charge in the core city has been increased from 60 paisa to Rs 1 depending on the areas and on the out skirts it has been increased from Rs 40 paisa to Rs 80 paisa. He said, according to revised rates and as per the State government's direction, the corporation has been collecting three years penalties for new constructions and for rest of the constructions they have been collecting penalties from 2008.

The GHMC official further added that the government has instructed them to decrease property tax only for those residents who have shanty type houses with two bedrooms, but not apartments and other properties.

He said as per government’s direction, the corporation had identified 5, 30,027 properties for revising property tax. Of them, he said, the corporation has verified 4,43,108 properties and increased the demand for 2,05,087 properties and issued notices for 1,88,921 properties.