A hike in the property tax by the Hubballi-Dharwad Municipal Corporation (HDMC) was opposed by taxpayers, after which the corporation reduced it by 5 per cent for residential and vacant plots, and 10 per cent for commercial properties.
The HDMC had enhanced it by a whopping 30% for commercial establishments, 20% for residential buildings, and 30% for vacant plots, during the Covid-19 pandemic. The residents strongly objected to this hike.
The revised slabs are 15% for residential properties, 25%for vacant plots and 20% for commercial properties.
HDMC commissioner Suresh Itnal said that there is no question of a complete rollback of the hike in property taxes, as it is a government order, and he has no power to write to the regional commissioner or the government.
Itnal said as per the fresh notification issued by the state government, there will be a concession of 5% in taxes for residential and vacant plots, and the fresh changes have already been implemented.
Former mayor Dr Pandurang Patil termed the decision of increasing taxes dictatorial. “The government should have continued the old tariff for 2020-21, and could have taken a decision on whether to increase the taxes or not, next year,” he said.
He said that there is a provision for increasing property taxes by a minimum 15%, once in three years, but it is not said that it it is not mandatory, he said.
A proposal of the tax hike, on the lines of 2017, was moved by the HDMC on March 10, before the lockdown was clamped, and the same was approved by the state government.
AAP district president Santosh Nargund strongly opposed the hike. He and his party members submitted a memorandum to chief minister B S Yediyurappa in this regard. He demanded a complete rollback of the hike. He said the government did not consider the plight of the common man, who is suffering due to the pandemic.
He said the government has lost its sensitivity towards the public, and that it is an anti-people move. Other corporations like Mysuru, Vijayapura and the BBMP have not increased property tax, he said.
HDMC Commissioner Itnal said of the total 2.6 lakh properties in the twin cities, 46,000 property identification numbers (PIDs) have been generated as on May 26. He said that taxes are vital for running the corporation.
