AMC’s tax rebate scheme a hit

The Ahmedabad Municipal Corporation’s (AMC) 10 per cent rebate scheme for advance property tax payers seems to be serving its purpose. In the first 15 days of the new financial year, the civic body received property tax amounting to Rs13 crore, which is close to its set target of collecting Rs15 crore a month.

On Wednesday alone, with some 7,000 Amdavadis rushing to take advantage of the rebate scheme, the AMC raked in Rs2.5 crore as property tax. So far, a total of 37,274 residents have capitalised on the scheme, and the civic body is hopeful that the figure would increase in the coming days.

“We are surprised that despite seven holidays in the last fortnight, people have acted responsibly and rushed to pay advance property tax. We will continue to promote the scheme and will work hard to make it a success,” said chairman of revenue committee Mayur Dave.

Dave said that the scheme was announced sometime around the interim budget to reward the regular tax payers. A number of citizens failed to clear their dues even after the AMC introduced schemes to recover the money. However, this time, the civic body is confident that the 10 per cent rebate scheme will help it procure the due property tax. The advance tax would be calculated on the basis of last year’s property tax bill, and the scheme will be available only till April 30, 2009.

The revenue department of the AMC had sealed 18,418 properties for non payment of tax. According to earlier provision, one had to pay 50 per cent of the total property tax dues to acquire the sealed property and was required to deposit an advance-dated cheque for the remaining amount.

However, now, after the AMC introduced a new scheme for tax payment of sealed properties, owners can clear the dues in five instalments. Earlier, the civic body had also introduced schemes like 50 per cent reduction in pending property tax to recover money, but it failed to generate good response.