Chandigarh, November 29
The concessions announced by the Haryana Chief Minister, Mr Om Prakash Chautala, in house tax yesterday will provide relief worth about Rs 30 crore to the people. The recovery of house tax in the state would have gone up from the existing about Rs 20 crore to over Rs 60 crore per annum under the controversial new house tax policy, according to the Urban Development Minister, Mr Subhash Goyal.
However, concessions announced by Mr Chautala will reduce the expected recovery at least by Rs 30 crore.
According to official sources, commercial establishments in the state have got the maximum relief. By reducing the house tax on such establishments by 50 per cent the government has benefited about Rs 1.75 lakh commercial establishments to the tune of about Rs 15 crore.
The tax exemption on uncovered land in industrial units will benefit about 14,000 assessees to the tune of about Rs 7.5 crore. A similar exemption on about 50,000 vacant plots will cost about Rs 1.50 crore. The tax rate in the case of residential buildings has been reduced from 10 per cent to 2.5 per cent, which in terms of gross revenue loss is expected to be near Rs 9 crore.
The sources say despite these concessions, which were in tune with the sentiments expressed by the elected representatives of the people at various platforms, there will be a considerable bouyancy in the tax recovery. Moreover, the civic bodies will be able to increase their income from house tax every five years with the introduction of an objective and transparent house tax assessment formula.
Meanwhile, a number of organisations have welcomed the relief announced by Mr Chautala on house tax. In a statement issued here today, the Chairman of the Ambala Cantt Traders Federation, Dr N.C. Jain, said the concessions would provide a big relief to the middle class, which had been badly affected by the new house tax policy. He said the relief was as per the case pleaded by the local MLA Mr Anil Vij, with the help of facts and figures.
However, a Secretary of the Haryana Congress, Mr Sat Pal Kaushik, claimed that the concessions had been announced by the Chief Minister as a result of the successful bandh in the state a call for which was given by his party. He said the Congress would continue to agitate on the issue till the old formula of tax assessment was restored.
Meanwhile, the Urban Development Department is preparing a draft ordinance to implement the concessions announced by the Chief Minister.
