Bhubaneswar: Following Orissa High Court order, the Bhubaneswar Municipal Corporation (BMC) is all set to reassess and collect new holding tax from about 40,000 properties under its authority for a period between 2019-20 to 2020-21.
As per directions from GA department, the civic authority after 21 years had revised the benchmark value of land cost in October last year. The BMC’s move was challenged by different organisations in court. However, the Odisha High Court in its judgment Sept 4 ordered the BMC for revision and collection of all non-assessed holdings within 15 days.
“We have asked the Zonal Deputy Commissioners (ZDCs) of South-East, South-West and North Zones in the city to complete revision of all the non-assessed properties within 15 days. The reassessment will be done retrospectively with effect from April 1, 2019. After completion of the reassessment process, the ZDCs will collect 50 per cent of revised assessment amount to be paid towards any holding from the period 2019-20 to 2020-21,” stated a senior BMC official.
However, observing the pandemic in the city, the civic body will allow proprietors of all commercial and residential properties to pay the amount in quarterly or half-yearly installment. “The 15-day deadline to complete reassessment may also be likely extended as the Covid-19 crisis is affecting work owing to limited manpower,” the official added.
It needs to mentioned here that as per Odisha Municipal Muncipal Act, 1950, the BMC which collects holding tax is supposed to increase the benchmark value of land in every two years as per state government directions. However, since 1988, holding tax or benchmark value has not been revised under BMC jurisdiction resulting in major revenue loss to the exchequer.