Mangaluru City Corporation’s collection of revenue slightly sluggish, but on track
MANGALURU: A seemingly sluggish performance in mopping revenues has not got the officials of revenue department of Mangaluru City Corporation worried one bit. A perusal of statistics given by the department gives one the feeling that civic body is staring down the barrel of a gun with less than expected revenue collections. Barring khata fee collection, where the performance is 100%, total revenue collection from other sources up to June 10 is just 21.57%.
The major heads of revenue for the civic body is from property tax, advertisement tax, rent from commercial buildings, rent from municipal office building, rent from market building, bus stand and parking fees, and khata fee collection.
As things stand, progress in property tax collection is 23.08%, advertisement 3.41%, rents from commercial, municipal office and market buildings 8.78%, 5.98% and 5.12% respectively, bus stand fee 14.5%, and parking fee 27.20%.
Saying that while the overall revenue collection of 21.57% makes for dismal reading, Raju Mogaveera, deputy commissioner (revenue) said the truth cannot be far from that. The civic body mopped up nearly 85% of the total demand of Rs 63 crore revenue in 2015-16 with property tax alone contributing Rs 55 crore. While some of the tax is collected upfront and time for stakeholders to pay the rest, the initial collection of revenue always presents a bleak picture, he said.
The total demand from the above sources of revenue for 2016-17 is Rs 66.69 crore as against Rs 57.42 crore in the previous fiscal. The revenue approximations usually varies given that collection from property tax head is usually fluid as properties increase each year, he said. “We are in the process of ensuring that all defaults in payment of property tax is addressed earnestly by way of a campaign to be launched against the defaulters shortly,” Raju Mogaveera told ETRealty (TOI).
“Advertisers and those who have obtained buildings an d market space on rent have specific time by which they need to pay,” he said, adding that delinquencies or delays under these heads too contributes to numbers looking bad. “Even in property tax, people have time from April 1 of every year up to March 31 of next year to pay and not all pay in April to avail 5% rebate or pay it at par during May and June or with compounding penalty of 2% each month from July onwards,” he noted.