Exercising its special powers, the Chandigarh Administration on Monday ordered Chandigarh Municipal Corporation to impose property tax in thirteen villages from the next assessment year.
The orders were issued after the Chandigarh Municipal Corporation failed to impose property tax on buildings in the 13 villages, despite the UT directing them in a previous letter issued in July.
The 13 villages where the tax will be imposed are Kishangarh, Mauli Jagran, Daria, Raipur Kalan, Makhan Majra, Behlana, Raipur Khurd, Dhanas, Sarangpur, Khuda Alisher, Khuda Jassu, Lahora and Kaimbwala that were transferred to be under the jurisdiction of the Chandigarh Municipal Corporation on November 30, 2018.
The orders were issued under the Section 90 of the Punjab Municipal Corporation Act, 1976, as extended to Chandigarh to impose the tax on commercial, industrial and institutional (Lands and Buildings) properties.
An order by the administration read, “The Municipal Corporation Chandigarh was directed under the sub-section (4) of Section 90 of the Punjab Municipal Corporation Act, 1976, as extended to Union Territory of Chardigarh to impose the tax on commercial, industrial and institutional (lands and buildings) properties in the 13 villages to bring it in conformity with the Act and make it financially reasonable and economically viable.
Whereas, the Municipal Corporation has not been able to impose the Property Tax in respect to the aforesaid properties, whereas it was clarified that as on date no tax of such nature was being imposed in these villages.”
It further said, “The Chandigarh Administration is of the opinion that it was necessary for the Municipal Corporation to raise its own resources for the development of the city by imposing the Property Tax on commercial, industrial and institutional (lands and buildings) properties in these 13 villages. It is quite evident that the Municipal Corporation has not been able to comply with the directions so it has become necessary to invoke the provision of the Section 90 (5) of the said Act by issuing the present order.”
The orders specified that the Administrator of Union Territory of Chandigarh, in exercise of the powers conferred under Sub-Section (5) of Section 90 of the Punjab Municipal Corporation Act, 1976, as extended to UT of Chardigarh by the Punjab Municipal Corporation Law (Extension to Chandigarh) Act, 1994 (Act 45 of 1994), the Chandigarh Municipal Corporation will impose the Property Tax from the next assessment year.
UT overruled MC earlier as well
In 2003, when the Municipal Corporation was not ready to impose the paid parking system in the city, the UT Administration had exercised its special powers and had imposed paid parking system in the city.
In 2015, the UT Administration overruled and exercised its special powers by imposing house tax on residential properties in the city.
The Municipal Corporation was not ready to impose the house tax and had rejected the proposal in the general house several times.
The Administration then issued a notification on house tax by exercising its special powers.
