Imposition of Property Tax across J&K UT
Software/App being developed to make process simple
Mohinder Verma
JAMMU, May 9: Government will shortly start holding discussions with elected representatives of the Urban Local Bodies (ULBs) to evolve consensus and generate awareness about the necessity of imposition of Property Tax across the Union Territory of Jammu and Kashmir. Moreover, software/app is being developed by the Housing and Urban Development Department to make the process simple and easy to understand by the citizens.
In terms of notifications issued vide SO 86 and SO 87 dated February 21, 2023 the Government decided to levy Property Tax on residential houses, apartments and commercial establishments within the Municipal areas with effect from April 1, 2023.
However, following hue and cry from different quarters the Housing and Urban Development Department, as announced by the Lieutenant Governor, issued notice on March 10, 2023 inviting suggestions/comments from the general public within 10 days.
“Several suggestions have been received by the department from different quarters and in maximum suggestions thrust has been laid on holding discussion with the elected representatives of the Urban Local Bodies—Municipal Corporations, Municipal Councils and Municipal Committees for evolving consensus”, official sources told EXCELSIOR.
Now, the Housing and Urban Development Department has decided to shortly start holding deliberations with the elected representatives including Mayors and Deputy Mayors in order to evolve consensus and generate awareness about the necessity of imposition of Property Tax, they further said.
They disclosed that discussions will start following development of software/application by the National Informatics Centre (NIC) J&K, which has already started the exercise in this regard as desired by the Housing and Urban Development Department. The objective behind development of software/application is to make the calculation and payment of Property Tax easier and the same will be demonstrated during the discussion and awareness generation.
“Earlier, there was confusion among the people mainly because of formulas vis-à-vis calculation of Property Tax and department wants to clear the same through the software/application”, sources said, adding “after completion of deliberations with elected representatives and generation of awareness among the people through different means the Government will go ahead with the levying of Property Tax”.
About other suggestions/comments received by the department, sources said that some people have demanded exemptions for certain sections in commercial sector while as others have suggested that vacant plots should be exempted from levying of Property Tax.
“However, these suggestions cannot be considered favourably as Government doesn’t want to create a separate class as far as imposition of Property Tax is concerned. Moreover, vacant plots cannot be exempted in the light of the fact that their cost keeps on increasing year after year”, sources said.
Asserting that welfare of the citizens is foremost priority of the Government, sources said that Property Tax will ensure financial self-sustainability of cities and improvement of public amenities in Jammu and Kashmir. Moreover, Property Tax in Jammu and Kashmir worked out by the Government is one of the lowest in the country and will be used for improving public amenities.
Further, residential property up to 1000 square feet has been exempted from the purview of tax, which is going to benefit large number of people.
As per the figures worked out by the Government, 40 per cent of the population of Jammu and Kashmir will have to pay no property tax and the remaining 60 per cent have to pay a nominal amount as concerns of the common man have been duly taken care of.
“Tax amount fixed is one-tenth of the tax being paid by the people in Shimla, Ambala and Dehradun. We have 520000 houses in Jammu, Srinagar and other Municipal Committees out of which 206000 fall below 1000 square feet which means 40 percent will not have to pay Property Tax. Further, we have 203600 houses that fall below 1500 square feet. Such houses have to pay maximum Rs 1000 annually as Property Tax”, the Lieutenant Governor had stated in a function at Srinagar on February 27, 2023.
Similarly, there are 101000 shops in Jammu, Srinagar and other areas falling under Municipal Committees out of which 46 percent shops fall below 100 square feet.