Andhra Pradesh - Vijayawada   

Round-table opposes Property Tax Board

VIJAYAWADA: A round-table conference organised by Tax Payers Association (TPA) opposed the constitution of a Property Tax (PT) Board by the State government, here on Sunday. In a unanimous resolution participants of the round-table wanted the State government to withdraw GO 107 related to the PT Board immediately and release grants due to the Municipal Corporations and Municipalities as recommended by the first AP State Finance Commission.

The conference was attended by representatives of various welfare associations of residential colonies and apartments, trade bodies, walkers' associations and voluntary organisations. The participants felt that the formation of such a Board was unconstitutional and against the “spirit of federalism”. It would weaken the local self-governance enshrined in the constitution. More so, the constitution of the Board was a move to avoid releasing of grants and funds to the ULBs, they felt.

Addressing the gathering, CPI (M) State committee member Ch. Babu Rao said the government was implementing the reforms under the pretext that the 13th Finance Commission would release the grants if a Board were constituted. Following the commission's recommendations, the government issued GO 88 to revise the property tax, and GO 107 to constitute the Board. The PT revision was an additional burden of Rs. 1,000 crore on taxpayers, while the government would get Rs. 664 crore as grant from the Centre, he said. Similarly, the user charges on garbage lifting were being collected forcibly from the people, but the Vijayawada Municipal Corporation (VMC) claimed that the people were paying it voluntarily. “If we remain silent, the government thinks that the people are accepting the reforms, and would not release any grants in future,” he cautioned.

TPA secretary M.V. Anjaneyulu said the government gave exemptions to the tune of Rs.17 lakh crore to the corporate companies in last four years. However, the ULBs were grossly neglected, and their share did not exceed 17 per cent of total taxes collected, while the concessions touched 72 per cent of tax collected, he said.

Among others TPA president V. Sambi Reddy spoke at the meeting.

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