Penalty waiver, 10% property tax rebate likely in Howrah | Kolkata News


Penalty waiver, 10% property tax rebate likely in Howrah
HMC proposal to be placed before cabinet on Wednesday

Kolkata: The state will introduce property tax waiver schemes in Kolkata as well as Howrah ahead of the civic elections later this year.“In Howrah, property tax defaulters are likely to get a 100% waiver on penalty and interest. They may also receive a 10% rebate on the pending property tax amount,” said Umesh Rai, minister of state (MoS) for urban development and municipal affairs. He added that the proposal for Howrah Municipal Corporation would be placed in the state cabinet on Wednesday. An official said such waiver schemes usually had a graded mechanism, with those defaulting for a shorter period being offered a higher waiver. A waiver scheme can benefit both civic bodies and taxpayers with dues. Municipal bodies can recover a portion of long-pending property tax, while defaulters can settle their arrears at a concessional rate.The remission for property tax in the Kolkata Municipal Corporation area might not need any sanction from the state cabinet as KMC Act, 1980 empowered the civic body to waive penalties and interest on pending property tax, said an official. “The KMC is empowered to offer waivers on its own,” said the official. But, he added, the Act governing the operations of Howrah Municipal Corporation did not empower the civic body to do so and an approval from the state cabinet was required.Another official pointed out that KMC was unlikely to offer any waiver on the actual pending property tax amount or the principal. “KMC Act does not have any provision to waive any portion of the principal amount,” said the official. The last time KMC offered such a special property tax waiver was in 2020, within months of the Covid pandemic hitting the country.Civic body elections in Howrah and Kolkata will be completed by the first week of Dec.During a visit to the KMC headquarters in June, chief minister Suvendu Adhikari had said a new board would be in place by Dec 7. State election commissioner Krishna Gupta had also recently said that the SEC would complete the elections in Howrah, Kolkata and six other municipal bodies by the first week of Dec. “We will conclude polls in these eight corporations and municipalities by the first week of Dec. The elections will be held, based on the electoral roll published by EC on July 1,” Gupta had said.



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