BBMP new taxes or no hikes for the poor?

[Vinay Baindur]

It seems that one paper has some news that there WILL BE NO NEW TAXES ( in ToI as below) and another picks up that there will be new taxes The same officials but two sets of news ?




Broadening horizons
It does ring in tangible changes for the average Bangalorean, her area extends from the erstwhile 225 sq km to a megapolis of 741 sq km. For citizens on the periphery, as also denizens of 111 villages, it makes them part of the Silicon City.

The Times of India


What is the good news for the denizens who have been embraced into Greater Bangalore? That there is no increase in any taxes in the near future.
At least that's the first indication government officials are sending out. Major issues that the citizenry are worried about — betterment charges, levying new cesses — have still not been spelt out. "Give us a few more weeks, everything will be spelt out," say officials. The administrative challenges still remain — how many offices, staff strength, uniform taxation system and merger. The status quo — existing offices will continue at the CMCs, TMC and village panchayats. Until notified further, these citizens have to continue paying taxes, cesses and get their khata from the existing offices.
Here's what is being promised as well — that from every residence, there will be an office within 3-4 km, where basic administration work for the citizens can be handled. To start with, the existing 3 zones will escalate to 8 zones and each zone will have 4 offices.
Officials say that it's only from the next financial year that all the citizens coming under the jurisdiction of 741 sq km of Greater Bangalore, will be treated under a new banner, with a uniform adminsitration for the entire jurisdiction.
Boundary for Greater Bangalore
In the north, the boundary starts from the junction of Govindapura and Vaderapura. The boundary is co-terminus with the northern boundary of Vaderapura running in eastern direction. The boundary again touches the junction of Kattigenahalli, Kogilu and Bellahalli. The boundary further covers the northern and eastern limits of Belahalli running towards south, along the eastern limits of villages.
The boundary runs southwards encompassing Medahalli (of K R Puram CMC). The boundary traverses westwards along the southern boundary of villages Basapura, Begur, Yelenahalli, Kambathenahalli encompassing the village Basavanapura, Gottigere. From the junction of Nagadevanahalli (of Kengeri CMC) and Sonnenahalli, the boundary moves towards the north along the boundary and encompasses villages — Sonnenahalli, Ullalu, Herohalli, Siddelehalli.
From the junction of Lakshmipura, Singapura (of Byatarayanapura CMC) Chikkabettahalli, the boundary runs towards the north, covers villages Chikkabettahalli, Doddabettahalli, Atturu (of Yelahanka CMC), Ananthapura and Harohalli villages.
Registration of properties
The final notification on Greater Bangalore has come at a time when the registration of properties is in a limbo. While the CMC/TMC (which is now dissolved) and 111 villages of various grama panchayats, which have now come under the aegis of Bruhat Bangalore Mahanagara Palike (BBMP), will have to wait as the state has not issued any clear guidelines on the status of properties that are now part of Bangalore agglomerate. According to official sources, it will take a while for the BMP to update property records in erstwhile CMC/TMC areas and issue khata under the BBMP banner. Until then, property registrations in these areas will continue to be in a mess.
Currently, only properties in BMP jurisdiction with the Palike issued khata, those allotted by BDA and layouts approved by BDA, properties allotted by Karnataka Housing Board, KIADB and KSSIDC are being registered.
"Once the urban local bodies come under the BBMP, khatas issued by the CMC/TMC/gram panchayat will have to be updated by the BBMP officials within one year. Only then the properties can be registered," officials of the stamps and registration department explained to The Times of India.
Properties in CMC/TMC areas, which have khatas will be valid till the next financial year. However, revenue properties will be banned from registration as they are agricultural non-converted lands.
Meanwhile, the property value in the city outskirts has seen a 10 to 15 per cent increase ever since the preliminary notification of Greater Bangalore. Property developers too are holding back their assets till the government comes up with a clear policy on the issue. "We have identified land in CMC areas and finalised the deal. But we do not want to register as there will be administrative wrangles later. We have paid the owner and will do the transaction when Greater Bangalore takes shape," said a few developers.
CM plans out elections
With Greater Bangalore being notified, the state is looking at the next step: setting up an elected body to govern it. CM H D Kumaraswamy on Wednesday said: "As soon as reservation and delimitation of constituencies are done, we will take up the elections."
Jairaj, Rau to head Greater Bangalore
Along with the final notification on Greater Bangalore, the state government has also brought in an administrator and commissioner for Greater Bangalore. Dilip Rau, administrator of erstwhile BMP is now adminsitrator of all of Greater Bangalore and K Jairaj, the first commissioner of Greater Bangalore. What do these historic positions mean to them:
No doubt this is historic as is the creation of Greater Bangalore itself. There still is a huge adminsitrative overhaul and challenge that needs to be addressed.
- K Jairaj, commissioner, Greater Bangalore
Being adminsitrator of such a huge area obviously means much more responsibility. The task is huge, entire area has expanded. Planning processes are on to equip the organisation with more powers and resources. Further work is being done.
- Dilip Rau, administrator, Greater Bangalore
And answers for these?
Where do the CMC/TMC/GP properties stand as on today?
Whom does the residents approach for building plan sacntions in the CMC areas?
What are the documents required to register properties in CMC/TMC/GP areas?


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Greater Bangalore, but higher tax?

The Hindu

Several issues to be tackled before finalising property tax system

# Sources say Annual rental value, capital value-based systems followed now
# Existing methods will continue till March 31

BANGALORE: With the Government having issued the final notification on the formation of Bruhat Bangalore Mahanagara Palike (BBMP) on Tuesday, citizens are worried that they will have to pay more property tax.

Residents of the seven City Municipal Councils (CMCs) and the one Town Municipal Council (TMC) are now paying property tax under the capital value-based system (CVS) and those in the 100 wards of erstwhile BMP are paying it under the annual rental value (ARV) system. While both these systems run on the principle of Self Assessment Scheme (SAS), the basis on which the tax is calculated is different.

Sources in the Housing and Urban Development (HUD) Department told The Hindu on Wednesday that the existing method of taxation would continue in the respective areas till March 31.

"After that, a uniform taxation system will be worked out for all the areas under the BBMP," they said.

Although the erstwhile BMP has had several discussions on evolving a proper taxation system for the entire BBMP area, the officials have so far not been able to arrive at a consensus.

Pros and cons

"We weighed the pros and cons of both the systems and found that there are several issues that need to be tackled before finalising the property tax system. While the residents of CMCs are happy paying tax under CVS, those in the existing 100 wards are comfortable with the ARV," said an official who is a member of the committee on organisational restructuring and staff recruitment for BBMP.

The Government had a few years ago modified the Karnataka Municipalities and Certain Other Law (Amendment) Act, making it mandatory for all municipalities and corporations in the State to fix the rates under the CVS at 50 per cent of the guidance value of a property. But the BMP wanted the Government to increase the tax rates for areas in its jurisdiction, as the market value of property here is high. So it had not introduced CVS so far.

"Whether it will be CVS or ARV for all the areas is something that has to be decided after mature deliberations," the official said.

Although the draft notification proposed inclusion of seven CMCs, one TMC and 111 villages in BBMP, the two villages of Vaderapura and Kanooru have now been excluded as they fall in the "green belt." The village of Talaghattapura in Kanakapura has been added.

While BMP Commissioner K. Jairaj and Administrator Dilip Rau would continue to head the larger body, the existing commissioners of the urban local bodies would continue as special officials of the BBMP in the five zones created under the BBMP, the sources said.

Following the notification, all BMP communications have been changed. Sources said the civic body was also changing all BMP boards and names plates into BBMP.