BANGALORE: Impact fee, congestion tax, solid waste management user charge, tax on regularising unauthorised constructions, higher charges for plan sanction and advertisement tax.

All these and many more levies are in store for residents of the newly formed Bruhat Bangalore Mahanagara Palike (BBMP).

While the impact fee is for those who get benefited by major works on identified roads and other civic infrastructure, congestion tax will include infrastructure cess on new vehicles bought in BBMP areas.

The maiden budget of the larger civic body, which will be presented by the officials to the Administrator Dilip Rau in the absence of the elected representatives, is likely to touch Rs. 3,200 crore. Last year, the outlay was Rs 1,870 crore.

The civic body, which is gearing up to present the budget by the second week of March (soon after the State budget), will give emphasis to infrastructure and resource mobilisation.

The budget is likely to announce several new welfare schemes for various sections of society to give it a "pro-poor" tag.

Solid waste management cess, which has been on the anvil for the last two years, will be collected from all residents on a monthly basis.

Tax for regularising unauthorised constructions will be based on the constructed area.

There will be higher charges for getting a plan sanctioned and advertisement tax, which is now called on the size of the advertisement, will be on a profit sharing basis from the next financial year onwards.

"It is likely to be announced in the budget that advertisers may have to pay 10 per cent of their turnover to the BBMP. These levies are essential for developing new areas and to ensure that resource crunch does not come in the way of development," a top official involved in preparing the budget told The Hindu on Thursday.

This apart, people may have to pay betterment charges whenever a new khata is made in a revenue layout. These charges are likely to be collected at the rate of Rs. 50 per square yard. Property tax, which has been targeted at more than Rs. 600 crore this time, will be based on the Capital Value System (CVS).

This system is likely to replace the existing Self-Assessment Scheme (SAS) of property tax, the official said.

The new areas subsumed into the erstwhile BMP wards are prone to flooding as they do not have proper infrastructure, storm water drains and underground drainage system.

Task ahead

The civic body has to provide motorable roads, piped drinking water supply and a proper drainage system in these areas.

"Though it has proposed to float municipal bonds to meet this demand, we are hoping we will get additional grants from the State Finance Commission this time," the official added.

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