Kerala - Thiruvananthapuram   

Budget debate hinges on tax revision

Thiruvananthapuram: The general debate on the annual budget of the City Corporation on Friday generated much heat and dust over the proposed revision of the property taxation system. The ruling LDF coalition fought hard to deflect the Opposition’s allegation that the budget would burden the common man with a huge tax hike. LDF councillors highlighted the tax exemption for BPL families. They said the proposed revision was driven by the need to bridge the wide disparity in tax rate between the city wards and those annexed from the neighbouring panchayats.

The UDF benches accused the ruling coalition of being insensitive to the difficulties faced by the public.

Poundukadavu ward councillor Veli Varghese alleged that the large number of corrections in the figures proved the shoddy preparation of the budget. He said the LDF had made no effort to improve tax collection. Mr. Varghese also observed that the majority of schemes announced in the previous budget had not been implemented.

Nedumcad ward councillor Karamana Hari said the development spree in the wards annexed from suburban panchayats justified the tax revision. “It is only a unification of the tax rate, it does not translate into a hike.”

Kannamoola councillor R. Satheeshkumar called for setting up a consortium of architects to prepare a perspective plan for the capital city. He called for a slab system for the proposed service charge to be levied from private commercial centres including tutorial centres and hospitals. Mr. Satheeshkumar demanded increased allocation for multi-storied vehicles parking plazas.

UDF leader K. Maheswaran Nair said the new tax proposals would affect all sections of the people. He suggested that the tax revision be postponed till the infrastructure projects taken up under the JNNURM and KSUDP were implemented. Mr. Nair underlined the need for an action plan to speed up the implementation of projects. Thiruvallam ward councillor Lalithabai said the property tax revision proposed in the budget was necessitated by the enhancement of land value following the development activities taken up by the Corporation. She said the self assessment system would ensure better tax compliance from the public.

Nandancode councillor Palayam Rajan proposed budget allocation for a nursery for trees. He called for the construction of two new slaughterhouses at Nemom and Attipra.

Deputy leader of the UDF council party Beemapally Rashid said the absence of a review mechanism was responsible for the poor project implementation in the Corporation. He alleged that the budget had neglected coastal wards. “There is no move to alleviate the hardships of the coastal communities.”

Mr. Rashid accused the LDF of trying to muzzle the Opposition in the council. “The brute majority of the LDF has lulled them into complacency.” Mr. Rashid said the revision of the BPL list had left many needy people out of the ambit of welfare schemes. The budget debate will conclude on Saturday.

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