In its Budget for the financial year 2016-17, South Delhi Municipal Corporation has approved a hike in property and professional tax to augment its revenue. The implementation of the hike will bring additional revenue of Rs 300 crore to the corporation.
SDMC Chairman Radhe Shyam Sharma finalised the revised Budget estimate 2015-2016 and Budget estimate 2016-17 and said the Congress Government’s move to trifurcate MCD was strictly political leaving a monetary burden on all three corporations.
“Even the AAP Government is trying its best to put more and more monetary burden on us by not
paying us any money,” said Sharma.
Sharma approved a hike in property tax which comes as a move to increase the corporation’s revenue. Sharma said the revenue in parking, advertising and toll tax has gone down as compared to previous year.
He said if SDMC continue to deliver services this way, then the corporation is headed towards a future where it will have to undergo a loss of Rs 1,200 crore.
The Corporation, while expecting the loss first time ever, announced steep hike in property taxes, advertisement charges, etc. last month, Commissioner Puneet Kumar Goel proposed two per cent hike in A and B categories, one per cent hike in C, D and E categories. Though there is no hike proposed in special non-residential properties but
several categories, which were exempted earlier, were
included.
“The agency is running in loss and the need of the day is to increase its revenue. Besides proposing new tax and new slabs, we have been working on new policies for parking and advertisement as both are major source of income for the Corporation. If recommendations of Seventh Pay panel take shape, it will hole extra Rs 300 crore in Corporation’s pocket too. With implementation of the hike, Corporation will get additional revenue of Rs 300 crore,” said the Commissioner.