The News Craving
The Newscraving Desk
Srinagar, Jan 29:
Age of property as well as nature of construction will determine the property tax in Jammu and Kashmir, an order issued by the government’s Housing and Urban Development Department has said.
As per an order issued by Dheeraj Gupta, Principal Secretary, Housing and Urban Development Department, in exercise of the powers conferred by the Jammu & Kashmir Property Tax Board Act, 2013, the Jammu & Kashmir Municipal Act, 2000, and the Jammu & Kashmir Municipal Corporation Act, 2000, for the levy of property tax on any land or building, the value of land as notified in terms of Jammu & Kashmir Preparation and Revision of Market Value Guideline Rules, 2011(circle rate) “shall be a key determinant of the value of the property apart from the nature of construction, the kind of use, the age of the property, or any other relevant consideration.”
“The Property Tax Board, or as the case may be, the Municipal Corporation, Council or Committee concerned shall ensure that the value of land so notified is adequately factored in while determining the unit area values for levy of property tax, under the aforesaid Acts,” the order read.
While officials said that the tax rate could be even 5 percent the actual property tax to be realised from residential and commercial properties will be worked out on the formulae to be released by the Housing and Urban Development department.
In Delhi the formulae for determining the annual value of the property is: “Unit area value per square meter x unit area of property x age factor x use factor x structure factor x occupancy factor.” The house tax is calculated using this formulae: House Tax = Annual Value * Rate of Tax.
Similarly in a state like Tamil Nadu, the tax rate is 50 paise per sq ft from owners, whose vacant land lies close to the interior roads while the owners whose vacant land is in proximity to bus route tracks, on the other hand, have to pay Rs 1.5 per sq ft as vacant land tax.
Though there has been resistance on the imposition of property tax on residential buildings, official said that this will also help them identify any encroachments and tighten the noose against corrupt officials.
The government has directed employees to file their property returns to determine any illegally acquired assets.
