KMC allows more time to switch to new property tax system, Real Estate News, ET Real Estate

KolkataDesperate to bring more taxpayers under the Unit Area Assessment (UAA) system for assessment of property tax, Kolkata Municipal Corporation The (KMC) Valuation Department has decided to extend the deadline for switchover to the new system.

A senior official of the KMC revenue department said that though the civic authorities do not want an official announcement, the process of tax changes will continue. Earlier, the KMC authorities had set December 31 deadline for conversion from rent-based assessment method to area-wise (UAA) system and announced an annual 5% penalty for those not converting to UAA.

Seeing the willingness among a section of property taxpayers to accept the conversion, the KMC Revenue Department has decided to extend the deadline to accommodate lakhs of property owners in the UAA fold. According to a civic revenue department official, though KMC officials have decided to speed up the conversion system from time to time since 2017, the response from taxpayers was slow till last year.

Now, after seeing a backlash and out of desperation to increase revenue, civic owners have adopted a two-pronged strategy.

Firstly, inspectors from the KMC assessment department would personally meet the existing assessees and arrange for the conversion along with organizing camps in the housing complexes for switchover and secondly, follow the ‘forced conversion’ method.
This means that whenever a flat owner or a standalone building owner visits the KMC valuation department with an appeal for mutation of his property, the civic body will automatically bring the property under the UAA valuation method.

In fact, KMC revenue department officials have asked the assessment department inspectors to stop mutation of taxpayers who have not applied for UAA.

“We have made conversion to UAA mandatory in the matter of issuing mutation certificates. This strategy has worked for us so far especially in the added areas and some areas of South Kolkata. The number of assessees who converted to UAA then The situation escalated when the civic authorities decided to send inspectors from the assessment department to homes and launched a campaign to bring more assessors to the UAA. The inspectors of Darkuria, Gariahat Road, Kasba approached the inspectors. JadavpurBaghajatin, Netaji Nagar, Jodhpur Park, TollygungeBehala and some areas closed EM bypasssaid an official of the KMC revenue department.