Mangalore City Corporation hikes property tax by 15 per cent

The last time the civic body hiked the tax was in 2011-12 by 15 per cent.

Property taxpayers in the jurisdiction of Mangalore City Corporation will have to pay more from 2014-15. According to a March 4 notification by the corporation, the property tax has been hiked by 15 per cent with effect from April 1, 2014.

As per Section 109 (A) of The Karnataka Municipal Corporations Act, 1976, the rates of property tax under the self-assessment scheme (SAS) should be revised upwards once every three years. The tax rates could be increased from 15 per cent to 30 per cent of the property value. This is the second time the tax has been hiked since the civic body adopted the SAS for assessing property tax from 2008-09.

The last time the civic body hiked the tax was in 2011-12 by 15 per cent.

The prevailing base tax rates for six categories fixed in 2008-09 would remain the same. It is 0.5 per cent (of ratable value) for residential; 1 per cent for non-residential and non-commercial and 1.5 per cent for commercial buildings.A revenue official at the corporation said that cess is calculated only on the property tax.

As the corporation has introduced the solid waste management (SWM) cess, the outgo will go up further. There is a proposal to add two per cent transport cess to the other cess of 24 per cent.

Thus the total cess will be 26 per cent of property tax. But the body till Friday has not taken any decision on adding the transport cess, sources said.