MC issues 10K notices to recover Rs 42 crore

Rajinder Nagarkoti

Tribune News Service

Panchkula, October 15

The Panchkula Municipal Corporation has issued 10,000 notices to defaulters of house tax, who have yet to clear the dues amounting to Rs 42 crore.

In the past years, the recovery of house tax in Panchkula was not much effective.

Panchkula MC Commissioner Rajesh Jogpal said among the defaulters, there are commercial establishments, residential units and institutions. The list was prepared and notices were issued in the past few days. The MC had given them 30 days’ time to clear the dues otherwise the MC would take strict action against the defaulters, he said.

According to officials of the Municipal Corporation, it is largely owners of commercial units across the town who are among the major defaulters.

The decision to levy property tax in Panchkula was taken in 2010 when the corporation announced that it would calculate the property tax on the basis of existing collector rates in the city. However, the decision was later revised, and it was announced that the tax would be charged as per the plot size, which significantly brought down the tax value to a large extent.

In the past, there were discrepancies in the calculation of house tax as well. In November last year, it was highlighted in these columns that property tax for major defaulters was calculated on the basis of the commercial rates that were effective only till 2011. In 2013, the commercial rates were revised, which were to be made effective from 2011. The mistake created a discrepancy of over Rs 4 crore in case of 15 major property tax defaulters.

Decision on tax taken in 2010

The decision to levy property tax in Panchkula was taken in 2010 when the corporation announced that it would calculate the property tax on the basis of existing collector rates in the city. However, the decision was later revised, and it was announced that the tax would be charged as per the plot size, which significantly brought down the tax value to a large extent.