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MCD to attach accounts of property tax defaulters

Staff Reporter

1.5-lakh notices to defaulters, including government bodies, issued


  • Three schools among the `guilty'
  • Recovery squad headed by Warrant Officer constituted
  • 40 shopping malls identified for physical verification of tax status

    NEW DELHI: Alarmed over its falling property tax collections, the Municipal Corporation of Delhi has issued 1.5-lakh notices to defaulting property owners including government bodies. The civic body has also attached bank accounts of around half-a-dozen property owners that include three schools.

    According to Municipal Commissioner A. K. Nigam, a major drive has been launched for recovery of pending property tax and arrears, which include the current financial year also. A number of properties have also been identified where recovery of outstanding dues had been pending despite issuance of demand and show cause notices.

    Stating that at present the thrust was on recovery through attachment of bank accounts, Mr. Nigam said a number of bank accounts of defaulters of property tax have already been attached that include St. Xavier's School on Raj Niwas Marg; Victoria Girls Senior Secondary School on Rajpur Road; and Butler Memorial Girls Senior Secondary School on Boulevard Road.

    Similarly, bank accounts of a property owner at Kamla Nagar who has sublet his building to McDonalds; and of Jaina Properties and Finance Ltd. at Naniwala Bagh in Azadpur have also been attached, he said, adding that it has been decided to initiate penal action more vigorously against major tax defaulters.

    The MCD has also constituted a six-member recovery squad headed by a Warrant Officer that will physically inspecting prime commercial properties across the city and verifying their property tax status. The squad has also identified 40 shopping malls at Jasola, Rajouri Garden, Netaji Subhash Place, Wazirpur Depot, Karol Bagh, Saket and Vikas Marg. "We have also identified some other prime properties for recovery of taxes that include Indian Oil Building at Masjid Moth, Crown Plaza on Bhishma Pitamah Marg, Asia Pacific Restaurant at Subhash Place and Mann Hospital at Saket. They have been served notices to pay taxes with a stipulated date or face strict action," he added.

    Pointing out that several government bodies also owe crores of rupees to the civic body, the Municipal Commissioner said recovery notices have also been send to 19 government organisations including Delhi Development Authority, Airports Authority of India, universities and colleges, private power distribution companies -- NDPL and BSES, Transco, India Habitat Centre and petrol pumps of Indian Oil and Bharat Petroleum.

    Mr. Nigam also informed that the Property Tax Department has also initiated a special drive to decided pending ex-parte cases where taxpayers are being given last opportunity to get their pending ex-parte cases rectified on merit, failing which they would have to pay 30 per cent penalty besides paying a monthly interest of one per cent. He also asked all property tax payers to file their self-assessment return for the current to avoid any action.

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