CHENNAI: The Madras High Court rapped the Commissioner of Corporation of Chennai for not revising property tax for years and causing heavy loss to exchequer despite being vested with power to do so. In the absence of an elected Council, the Commissioner is vested with all powers to revise the tax, as per Section IX of the Chennai City Municipal Corporation Act, 1919. He should not have remained a silent spectator, the judge observed on Friday.
The judge was passing further interim orders on a writ petition from R Kulasekaran and R Padmanabhan, shop owners at the Koyembedu Market, challenging the property tax demand. Though it was stated by the Corporation that revision of property tax was a policy decision, requiring approval from the Council, the life of which expired on October 24, 2016, the Commissioner could not keep quiet and avoid revision of property tax, citing absence of elected Council.
Section IX of the Act states that the executive power for the purpose of carrying out the provisions of the Act shall be vested with the Commissioner, who shall exercise the powers, discharge all the duties and perform all the functions specifically conferred or imposed, the judge pointed out. Reacting to the submission of the Commissioner that if the revision was made from the year 2002 till 2016, the additional demand would have been Rs 1,841.48 crore tentatively, the judge said that it is clear that the loss would be more than Rs 1,500 crore (approx) due to non-revision of property tax.
If revisions were made promptly in 2002, 2006, 2010 and 2014, more income would have been generated and more infrastructure, amenities and facilities would have been provided by the Corporation. That apart, the jurisdiction of the Corporation has widened, including many parts of the adjoining Tiruvallur and Kancheepuram districts, making it Greater Chennai Corporation, as per Section 414-A of the Act, the judge pointed out.
The judge directed the Commissioner and the Municipal Administration and Water Supply secretary to inform the Court on August 21, as to when the revision of property tax would be made. The court will be constrained to summon the duo if they fail to do so, it warned.
Strict warning to commissioner
The judge directed the Commissioner and Water Supply secretary to inform the Court on August 21, as to when the revision of property tax would be made. The court will be constrained to summon if they fail to do so, it warned.