City Corporate & Business Plan - Municipal

Chapter ñ 12 Final Report: Ambur Municipality
1. Size & built up area of the property
2. Present use - residential, commercial, industrial or vacant.
3. Number of households, houses, size of families, etc.
On comparing with other municipalities in Tamil Nadu, the household size
(arrived from population and residential tax assessments) is 9, which is high. Thus it is
imminent that the property tax mapping exercise needs to be taken up
immediately to enhance the revenue generation of the municipality.
Street naming and property numbering already undertaken by Govt. of Tamil
Nadu needs to be linked to this to streamline the study. At the rate of Rs.30.00
per property, the estimated cost for the project would be about Rs.7.00 lakhs.
Property mapping would form a database for GIS projects (Land use and
Utility Mapping), which is a long term project and in the rationalization of tax
structure. The participation of the SHGs, (youth and women) could be utilized
for the purpose.
Identifying and including omitted Profession tax assesses - This project is to be
linked to the property mapping exercise. An improvement of 20-30% on the
existing tax base could be expected.
2. Rebates on Property tax:
Most of the collections take place during the last quarter of the year. This
results in poor collection efficiency, wherein the ULB ends up collecting much
less taxes than the tax demand raised. The option of providing rebates upto
10% for ëearly birdsí paying the tax during the 1 st and 2 nd quarter could be
explored. This would ensure timely spending on capital and operating
expenditure and efficient tax management systems.
3. Regular and periodic increment of property tax at 15% every 5 years.
4. Mobilizing a ëFast Track Litigation Campaigní to settle disputes on properties.
5. Levying Vacant Land Tax as per the recommendations of Third State Finance
Commission. Empowering the municipality to convert non-claimed lands to
socially benefiting uses.
ii. Profession Tax Reform
Revising the profession tax based on the Third State Finance Commission
recommendations.
iii Regularization of unapproved construction
Regularization fees for unapproved constructions at the rate of 5 times the
existing building license fee.
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