Property tax might be reduced by the Chennai Corporation
Posted on: 01/Oct/2019 9:56:06 AM
There are few added areas in Chennai and in these areas the rates of property tax collected are very high and abnormal. It is now said that the corporation had formed a committee to explore ways by which the property tax could be reduced.
An official belonging to the corporation spoke about how the department has been trying to reduce the property tax in some added areas in Chennai. It is important to mention that the residents belonging to the added areas have been campaigning for the tax rates similar to that of core places in Chennai city.
It must be taken into account that the owners of the old houses might also get some relief in the property tax due to the plan to factor in depreciation of the asset in the calculation for the property tax. In the Chennai city, as many as 1.59 lakhs residents and traders who own property were found to be paying taxes exceeding 100% in the case of commercial buildings. They were paying taxes exceeding 50% in the case of residential buildings.
It must be noted that in the assembly in the month of July the municipal administration minister Mr. S.P. Velumani had announced about the reduced collection of property tax from those residents who were paying more than 50% prescribed in the order.
To redress the grievances of the residents who have reported anomalies, the official belonging to the Revenue Department of Corporation was asked to take the initiatives. This was due to the protests by some residents. The civic body officials were advised by the government to avoid harassment of the residents is known. From 12.19 lakh assesses, the corporation would be collecting more than Rs 1400 crores this year and in 2018 the corporation collected around Rs 1000 crores as property tax.
It was pointed by Mr. Swaminathan, secretary, JAMBA United Welfare Association of Ambattur zone that out that many residents belonging to areas like Ambattur were paying high property tax amount when compared to other places in Chennai. He added that many residents who were paying EMI for loans were affected due to the increase in the property tax.
