After helicopters, BMC seizes car to collect property tax

After helicopters, BMC seizes car to collect property tax

The Brihanmumbai Municipal Corporation (BMC) is now leaving no stones unturned in order to recover property tax from the defaulters this year. After the civic body seized two helicopters of MESCO Airline for non-payment of property tax dues, it has now seized the car of a defaulter company in Andheri.

The move by the municipal corporation seemed to have a direct effect as it received an instant cheque of ₹50 lakh of pending property tax after the car of the defaulter company was seized. In a first, the BMC has started to seize movable assets to recover the pending tax.

Previously, BMC had taken the helicopters in their custody as the dues, in the MESCO Airlines case, were to the tunes of ₹16 million for the current year (2019-2020).

Meanwhile, on Tuesday, BMC's tax department seized the Innova car of the ECHD silk mills at MIDC, Andheri East. The company was liable to pay ₹1.96 crores as pending property tax. As the car was seized, the concerned company immediately issued a ₹50 lakh cheque to BMC and assured the remaining amount as early as possible.

According to Prashant Sapakale, the assistant commissioner of the East ward, the car was released after the said tax was recovered. 

So far, within five days, BMC has managed to collect property tax worth ₹293 crores. This is after it seized two helicopters of a tax defaulter and cut water to a commercial tower in BKC. On average, the civic body collects a tax of ₹10 crores every day and is yet to collect another ₹1,569 crores for this financial year which ends on March 31.

Municipal Commissioner Praveen Pardeshi had said that in 2019-2020 the budget estimate of Property tax collection was that of ₹5016 crores, and out of this BMC had managed to collect only ₹1,810 crores till January. Given the success BMC has now getting in recovering property tax, it is also planning to introduce several novel methods to generate more revenues, including levying fees on garbage-sewerage collection. 

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