With recovery of only Rs115 crore in eight months as against demand of Rs625 crore and with just four months remaining for the fiscal to end, the Nagpur Municipal Corporation(NMC) has started the process to auction properties of tax defaulters. Plan is to auction properties of around 600 defaulters in phase-I.
NMC Deputy Commissioner Milind Meshram told TOI that public notice warning auction of 12 properties owing arrears of over Rs5 lakh has been issued on November 21. “Date for auction of these properties will be announced after completion of 21 days from the notice,” he said.
As per data available from the civic body, 643 taxpayers owe arrears of over Rs5 lakh. They were issued warrants by November 3. Of them, 44 of them paid arrears of Rs4.6 crore. Process of attachment has been completed in 35 cases and going on in the remaining.
The NMC has issued demand notes of Rs625 crore — Rs250 crore of current fiscal and arrears Rs375 crore. Till date Rs115 crore has been recovered in the current fiscal. The standing committee had set target of Rs332 crore for this fiscal.
Despite Municipal Commissioner Radhakrishnan B and Meshram allowing 10% rebate from April 1 to June 30 and 5% rebate from July 1 to December 31, the recovery has been low but it is more as compared to collection during the corresponding period last year. The rebate system was implemented to encourage early payment, give emolument to prompt payers and give some relief to people who faced financial setback in the Covid-19 pandemic.
Urging taxpayers to pay and avail the benefit of rebate of 5% till December 1, Meshram also said properties owing arrears of Rs5,000 and above too will be attached and auctioned in case payment is not done on time. “We have prepared list of defaulters in different categories. First category is of arrears of over Rs5 lakh, followed by Rs1-5 lakh, Rs50,000-Rs1 lakh, Rs25,000-Rs 50,000, Rs5,000-Rs25,000 and below Rs5,000. Zones have been asked to initiate process and update data on daily basis,” he said.
The NMC has completed auction process of 495 properties as of now. Sale certificate followed by handing over possession of properties to successful bidder has been done in 13 cases — 12 were open plots and one duplex located at Sonegaon.
The civic body could not find bidders for 138 properties. These properties have been registered in NMC’s name.
Anjaya Anparthi, TNN, Nagpur