The TS Government and its various undertakings have to jointly pay an amount of Rs 5,560 crore to the GHMC as property tax. The Centre and its undertakings have to pay an amount of Rs 371 crore. In all Rs 5,935 crore is due to the GHMC as property tax.
The Forum for Good Governance requested the Chief Secretary to pay the property tax of TS government buildings and undertakings so that the GHMC can repair drains and roads before the monsoon.
“The law-abiding citizen hopes that the taxes paid by him will be used for providing civic amenities. The cash-starved GHMC can only just pay the salaries of its employees and there will be nothing left to carry out essential works,” Padmanabha Reddy of the FGG said.
The GHMC announced an ‘Early Bird’ scheme for property owners as per which if a property owner pays property tax in April he will get a rebate of 5 per cent on annual tax.
The property owners of Hyderabad responded well to this scheme. As against an estimate of Rs 750 crore an amount of Rs. 786.75 crore was collected by April 30.
“We have represented to the Chief Secretary to direct all HoDs to clear outstanding property tax dues to the GHMC. As per the instructions of the Chief Secretary some departments paid property taxes of around Rs 8 crore. The State Government is not providing sufficient funds to the GHMC and by not paying property tax it is setting a bad example,” he said.
On many occasions, the State Government has blamed the Centre saying that not even half of the tax collected from Telangana is being ploughed back.
When it comes to the GHMC 80% of the taxes collected by the State are from the GHMC area, but no funds are released to the GHMC. Apart from it property tax amounting to Rs 5560 crore has not been paid.
“The State Government is virtually starving the GHMC of funds. The recent rains have created havoc in the city. The much-publicised Strategic Nala Development Programme is not moving forward due to lack of funds. No contractor is willing to take up GHMC works as there is no possibility of timely payments,” the FGG said.