MYSORE: The Federation of Tax Payers' Association of Mysore has convened a meeting of property tax payers at the Nataraja Kalyana Mantapa here on January 14 to discuss the Mysore City Corporation's decision to increase property tax in violation of the provision of the Karnataka Municipal Corporation (KMC) Act.

Addressing a press conference here on Tuesday, former MLA A. Ramdas said owners of marriage halls, community halls, cinema halls, commercial complexes and house owners in the city could participate in the meeting and air their grievances against the decision of the Corporation to increase property tax with effect from January 1, 2007.

"We will ask the Corporation authorities to withdraw the order before January 16, failing which a petition will be submitted to Chief Minister H.D. Kumaraswamy, who holds the Urban Development portfolio, in this regard," Mr. Ramdas said.

Mr. Ramdas, who is honorary president of the Karnataka State Forum for Protection of Citizens' Interests, said the Corporation's decision to increase property tax from 0.3 per cent of the market value last year to 0.6 per cent for the ensuing year was "illegal".

Though the new order sought to consider only 50 per cent of the market value while calculating property tax, Mr. Ramdas felt that property owners would have to cough up double the amount than last year in the form of property tax this year.

Any decision to increase property tax would have to be taken by elected representatives of the civic body. Mr. Ramdas said the Karnataka Municipal Corporation (KMC) Act allowed enhancement of property tax by only 15 per cent, that too once in three years. "But, the Corporation has hiked the property tax by 100 per cent in one go," he said.

General secretary of Federation of Tax Payers' Association, Mysore, H.V.S. Murthy, said the Corporation had acted in haste and violated the provisions of the Act. "Why can't the Commissioner and Administrator wait for six months till the new elected body of the City Corporation is in place?," he asked.

It may be mentioned that the Administrator of the Mysore City Corporation had passed an order giving effect to the new property tax rates from January 1, 2007, but had ruled that only 50 per cent of the market value of the property should be considered at the time of calculating the property tax.

The property tax for the ensuing year should not be less than the rate fixed and collected for 2004-05.

While the rate for marriage halls, community halls and cinema halls has been fixed at 1.5 per cent, property tax for commercial buildings has been fixed at 0.9 per cent, according to the new order.

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