Patna civic body registers 94% fall in property tax collection

PATNA: There was almost 94.6% decline in property tax collection in the first week of the new fiscal year 2020-21, as the Patna Municipal Corporation(PMC) earned only Rs1.6 lakh compared to Rs 30 lakh during the same period in last fiscal year. PMC officials attributed it to the lockdown in view of coronavirus outbreak.


Patna mayor Sita Sahu said on Wednesday that the revenue collection would improve only after the situation gets better. “The property tax collection was never this low. The PMC is giving 5% rebate to property owners, if they pay the tax before May 31. There will be no discount between June and August. If the taxpayers pay after September, they will be charged late fine as well,” she said.



The municipal body has been sending messages to the property owners of all categories to pay taxes.


PMC public relations officer (PRO) Harshita said the private firm -- ‘Sparrow’ — roped in for revenue collection has been sending bulk messages to property owners on their registered mobile phone numbers, to pay the property tax online through www.pmcbihar.gov.in.


An official in the finance wing of PMC said physical copy of the property bills could not be dispatched to the owners in April due to the lockdown.


Meanwhile, the civic body has fallen short of its property tax collection during 2019- 20 fiscal by 45.18%, racking up only Rs60.3 crore against the target of Rs110 core.


Sahu said in 2018-19, PMC had collected around Rs82 crore against the target of Rs110 crore. “We are expecting to collect Rs20 crore more as the dates for the tax collection has been extended till May for fiscal year 2019-20,” Sahu said.


Revenue collection of PMC


Property tax in 2019-20: Rs60.3 crore


Target for 2019-20: Rs110 crore


Property tax collected in first week of April in 2019- 20: Rs30 lakh


Property tax collected in first week of April in 2020-21: Rs1.6 lakh


Dip in collection: 94.6%


Source: https://realty.economictimes.indiatimes.com/news/regulatory/patna-civic-body-registers-94-fall-in-property-tax-collection/75058675

April 09, 2020

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