Property tax: MC may exempt orphans

The Municipal Corporation (MC) is considering exempting orphans from property tax. Mayor Harpreet Kaur Babla has directed the officials to prepare the agenda in this regard for the next meeting of the House Tax Committee.

Babla issued the directions after she received a request from a young girl who had lost both her parents recently. The girl has received a notice to pay property tax running into thousands. Having no source of income, the girl, along with her neighbour, approached the MC with her request for tax waiver.

Since there is no such provision under the law to exempt orphans from paying the tax, the Mayor has directed the officials to prepare the agenda to be tabled before the House Tax Committee.

As per the present provisions of the property tax bylaws notified by the Chandigarh Administration, no tax is levied on residential lands buildings owned and self-occupied (No portion is let out) by the persons, who have served or are serving in any rank whether as combatant or non-combatant in the naval, military or air forces of the Union of India, for 300 square yards. For more than 300 square yards, only 50 per cent tax shall be charged.

Also, widows or disabled persons, who are entitled to the benefits of deductions under Section 80 U of the Income Tax Act 1861, are also exempt from the tax up to 300 square yards.

The MC earlier brought a proposal to exempt the wives of defence personnel from the levy. The agenda in this regard was tabled in the last meeting of the committee. However, it was not discussed as the meeting was postponed.