Residents and political parties are up in arms against The Vijayawada Municipal Corporation’s plans to revise property tax have drawn the ire of residents and political parties, who have demanded that the corporation shelve them, as it will cause additional burden for people.
Every year, the VMC collects nearly Rs. 75 crore as property tax, but the expenditure is much higher. But residents are up in arms against the plans. “The VMC is spreading a false propaganda that property tax revision was due since 2001, which is not correct. The authorities had revised taxes on commercial property by 150 per cent in 2007. In addition to this, water charges were increased, drainage charges were hiked, and so were the garbage charges. Already, people are burdened with these taxes, and a rise in property tax can lead to additional financial load,” said Tax Payers’ Association president V. Sambi Reddy.
According to rules, property tax should be revised every five years, but at the same time, the corporation authorities should obtaining funds from the government. Since 2005-06, authorities have made no efforts in getting funds sanctioned, in accordance with the Finance Commission guidelines, by the government, he pointed out.
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“The VMC authorities should think about alternate sources of income generation rather than revising property tax. Nearly Rs. 20 crore in the form of tax is due from various government departments, and private telecom providers do not pay tax for laying cables.
The authorities should collect the dues and make the telecom companies pay tax, as such measures can help the corporation improve its financial health,” said association secretary M.V. Anjaneyulu.
Extending their support, CPM city secretary demanded that the corporation release a white paper on arrears due from the government. He said the party would launch agitations, if the corporation did not shelve its plans.
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