Bogged down by reluctance of rate payers to comply with the new Tax Gazette, tax collection by the Guntur Municipal Corporation for the year 2011-2012 has been pegged to just 60 per cent of the integrated tax demand.
With an integrated demand of Rs.62.45 crore, the GMC expected its coffers to fill up but with the non-residential property owners still refusing to pay taxes as per new gazette, the tax collection has remained sluggish.
The Guntur Municipal Corporation has netted Rs.32.52 crore property tax as on March 31, with a balance of Rs.35.89 crore still to be collected. Out of this, the GMC expects to net Rs.14.50 crore, which have been embroiled in court cases.
To improve the rate of tax collection, the GMC has come up with an offer to slash penal interest on tax dues in the last week of March. The offer has been extended till April 30.
“We are hoping that the tax collection would increase in April as more number of rate payers are starting reconciling to the new tax gazette,'' Additional Commissioner, GMC, P. Srinivasulu told The Hindu on Monday.
The implementation of new tax gazette has been embroiled in a controversy since 2010 with a rate payers association maintaining a strident note. The Government had even appointed one-man committee headed by additional director, Department of Municipal Administration, Muralidharan to submit a report.
