KMC to act tough against tax defaulters

Kolkata: In a bid to increase its tax revenue by the end of this financial year, Kolkata Municipal Corporation (KMC), led by its Mayor Firhad Hakim, is soon to discuss measures required for collecting due property tax from defaulters.

The main source of revenue for the KMC is the collection of property tax. Over the years, the civic body has even introduced measures to simplify its method of tax collection, hoping to make it easier for the taxpayers to deposit the same in time. However, the growing list of defaulters have become a headache for the civic body as it is acting as an impediment to filling its treasury by the end of this financial year.

It recently came to light that the due amount of taxes has crossed more than Rs 3000 crore. Mayor Firhad Hakim has however said that the tax defaulters are mostly people who are from a privileged class as the middle-class section of people pay their taxes on time. However, it is now to be decided as to how to collect it from big-time defaulters who have already been served notices in the past.

Even as sources inside the civic body are of the opinion that this year there has been a growth of more than 25 per cent in collection of taxes, many are also of the opinion that it is too early to make such a claim. An official said it is mostly the last few months of a financial year where the KMC shifts its gears to act tough against the tax defaulters.

It is learnt that Hakim will soon convene a meeting with the officials of the Tax department to discuss measures on how to collect the maximum amount of pending tax before the closure of this financial year.

An official said that the civic body’s hardship committee has also waived certain amount of pending taxes for many who are reeling under financial stress.