HUBBALLI: Following the Supreme Court’s 2009 ruling that railways department properties, despite being govt-owned, are subject to property tax, the Hubballi-Dharwad Municipal Corporation (HDMC) has renewed its efforts to collect property tax from railways department properties. Previous attempts by HDMC were unsuccessful as railway officials did not provide necessary property details. However, the current initiative received a favourable response from railways authorities.
The railway properties are situated across four different HDMC zones, and senior railway department officials instructed their zonal representatives to share property information with the municipal corporation.
Taking inspiration from Kalaburgi Municipal Corporation, which already began collecting property taxes from Railways, HDMC plans to implement property identification numbers (PID) for railway properties to establish appropriate tax rates. Hubballi, which serves as the South Western Railways headquarters, houses various railway facilities including a workshop, hospitals, employee quarters, and a railway station.
The assessment process involves measuring built-up areas, determining property usage categories, and applying appropriate tax rates as per HDMC guidelines. The corporation expects to complete the property mapping and PID generation within March.
The process includes digital mapping of properties, verification of land records, and determination of tax slabs based on property type and usage.
The HDMC authorities appointed a team of officials from each zone to facilitate smooth coordination with railway officials. These officers will assist in providing necessary documentation and access to railway premises during the assessment process. The tax collection initiative is expected to significantly boost HDMC’s revenue.
The corporation plans to utilise these additional funds for infrastructure development and civic amenities in areas surrounding railway department properties and others.
The chief accounts official (CAO) of HDMC, Vishwanath PB, reported receiving encouraging feedback from railway officials. Teams comprising officials from Zones 4, 6, 8, and 10 have been established to gather property information.
These officials are tasked with collecting property details and generating PIDs, which will facilitate tax collection. “There are different taxes on different properties. For commercial, residential, open sites, hospitals, schools, and others, the taxes will vary. Currently, we are collecting the details of properties, tentatively expecting Rs 25 crore in property tax,” he added.
The decision regarding the commencement year for tax collection will be made after property details are gathered and PIDs are created. The HDMC plans to analyse tax formulae from various corporations before finalising the property tax structure.
Source Homevior.in
