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Government agencies on civic body's list of tax defaulters too

The list of defaulters also includes big corporate houses, real estate developers and land owners

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Despite property tax being the BMC's highest source of revenue, after Octroi was scrapped in July 2017, dues pending to be recovered by the civic body run up to the tune of Rs 9,000 crore every year and the list of defaulters includes several government agencies like the Railways and Mumbai Port Trust (MbPT) among others.

The list of defaulters also includes big corporate houses, real estate developers and land owners. DNA had earlier reported about top private companies like Hindustan Composites Ltd, Jet Airways, Bharat Diamond Bourse and other top companies being in the list of top 14 defaulters of BMC's property tax for the current financial year. A senior BMC official said, "While strict action like sealing the property can be initiated against defaulting private companies, the same is not possible for government offices."

The official, who did not wish to be named, added, "Every year BMC has government agencies like Central and Western Railways, Public Works Department, Mumbai Port Trust, Collector's Office and police offices contributing big in the defaulters list for property taxes. Each of these agencies have dues going in crores and the money is locked as many are embroiled in litigation. BMC lacks pursuance towards other government agencies."

According to the official, "Last year BMC cleared dues from the Collector and police in return of some of BMC's pending payments to the agencies. However, for agencies like Central and Western Railway, there are many disputes towards taxes like levying service tax instead of property tax. The dues get accumulated year on year. There needs to be a policy to recover dues from government agencies."

ALL GUILTY

  • Top private companies like Hindustan Composites Ltd, Jet Airways, Bharat Diamond Bourse among others are in the list of top 14 defaulters of BMC’s property tax for the current financial year.
     
  • The list of defaulters also includes several government agencies like the Central and Western Railways, Mumbai Port Trust and Public Works Department among others.
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