L-G launches scheme to reward RWAs for property tax compliance

New Delhi: Lt Governor of Delhi V K Saxena on Monday launched an incentive scheme for resident welfare associations to ensure property tax compliance and waste management in the city.

Under the SAH-BHAGITA scheme, RWAs (Resident Welfare Associations) will get 15 per cent of the total collection of property tax for development works in their areas.

The scheme will incentivise RWAs on achieving 90 per cent tax collection from total number of properties in their societies or colonies, allowing them to recommend development work to the tune of 10 per cent of the collected tax amount, with a cap of Rs 1 lakh, said a statement from L-G office.

Further, an additional 5 per cent of the tax collected will be provided if a residential colony implements 100 per cent waste segregation at source, composting, recycling of recyclable dry waste, it said.

Saxena last week had invited suggestions from the people to improve the MCD's poor financial health and also urged them to "honestly pay" their property taxes and dues to make the civic body financially stable.

"MCD services 94 per cent of Delhi. Past financial mismanagement & non payment of any property tax by 75 per cent residents has made it go in RED. It's time we-one of the richest cities in India, pay our dues to MCD honestly. Your suggestions & participation will help achieve this," he had tweeted.

The L-G announced major policy changes in the property tax structure of the MCD and launched SAH-BHAGITA scheme, making RWAs partners in tax collection and waste management ecosystem, the L-G office statement said.

"The new uniform policy addresses the long-pending rationalisation of the property tax structure and also places waste segregation, de-centralised processing, recycling and reuse as the axis for deciding upon additional rebate in the property tax matrix," it said.