Kumari Palany & Co

Chennai Corporation in a fix-Unable to collect property tax because of election duty

Posted on: 17/Mar/2014 10:07:41 AM
With just two weeks away, with elections round the corner, property tax collection by Corporation of Chennai is unlikely to meet its target for 2013-14. This shortfall is likely to affect the civic body’s exchequer as the March 31.The corporation has collected 368 crore so far against a target of 550 crore for 2013-14. Sources said the revenue department is busy in election duty for ensuring smooth parliamentary polls and only a few employees are allotted to recover tax dues.
 
The civic body is also likely to collect property tax less than the previous financial year because of the election. In 2012-13, the civic body collected 461 crore against the target of 500 crore. “The tax collection has nearly come to a standstill as most of the revenue staff are engaged in election work to prepare the final voters’ list and attending training to conduct polls. So they are unable to concentrate on tax collection” said a corporation official. He said earlier they used to collect 3 crore to 4 crore every day but it has reduced to 1 crore to 2 crore per day because of election work.
 
The corporation’s main source of revenue is property tax. Officials say a deficit is likely to adversely impact infrastructure projects like the setting up of bus shelters, construction and maintenance of public toilets, laying of new roads, garbage clearance and payment of wages to employees of the civic body.