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The issuance of property tax bills by the Brihanmumbai Municipal Corporation (BMC) for the current financial year has triggered confusion and concern among city residents, raising questions about potential increases in property tax rates.
The BMC, following its established protocol, has refrained from altering property tax rates since 2015. According to regulations, these rates witness revision every five years. Despite the expected revision in 2020, the BMC deferred this decision in light of the Covid-19 outbreak, maintaining stable tax rates since then.
Assurances regarding the absence of property tax hikes during the ongoing financial year were emphasized during the municipal commissioner and state-appointed administrator Iqbal Singh Chahal’s budget speech in February. However, recent bills uploaded by the BMC seemingly contradict this pledge, showcasing an apparent surge in taxes ranging between 15-20 percent. Notably, a footnote accompanying these bills attributes the increased total amount to be ‘for security/adhoc basis.’
The discrepancy between official assurances and the bills’ content has prompted former corporator Asif Zakaria to address the issue directly with Chahal. In his communication, Zakaria underscores the significance of property tax as the BMC’s second-largest revenue source and acknowledges the municipality’s need for funds to sustain ongoing development and infrastructure initiatives. However, he expresses concern over the issuance of bills citing ‘security/adhoc basis,’ resulting in an additional financial burden on residents.
The ambiguity surrounding these escalated property tax bills has left Mumbai residents bewildered, seeking clarity on the reasons behind the sudden surge despite earlier commitments to maintain existing tax rates. The issue has sparked a wave of concern regarding transparency in billing practices and the potential financial strain it may impose on the city’s populace.
As residents await an official response and clarification from BMC authorities regarding the rationale behind these seemingly inflated bills, the situation underscores the importance of transparent communication and adherence to promised tax rate stability in maintaining public trust and confidence in civic governance.
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