Hindustan Aeronautics Ltd (Photo | ANI) 
Bengaluru

In a first, HAL clears Rs 92 crore tax dues, agrees to pay Rs 5 crore annually

The BBMP had recently offered a one time settlement scheme to clear property tax dues in the next six months from March 27.

Mohammed Yacoob

BENGALURU:  In a first, Bruhat Bengaluru Mahanagara Palike (BBMP) received Rs 92 crore as property tax from HAL. BBMP Revenue Commissioner RL Deepak said they have been following up with the HAL on their tax dues and after a series of discussions and explaining their legal position, the Palike was successful in convincing HAL authorities to pay up Rs 5 crore annually henceforth as property tax. Earlier, the HAL used to pay around Rs 35 lakh as property tax.

“We conducted verification of HAL properties. A scientific valuation of the properties including the school campus, HAL hospital, and places rented to banks, among others was undertaken. Assistant revenue officers from Mahadevapura Zone have done the calculations, and on the other hand, HAL and BBMP also exchanged their opinions about their legal positions. After the final assessment, HAL was convinced and its CMD CB Ananthakrishnan agreed to clear the dues Rs 92.57 crore was paid through RTGS on March 31,” said Deepak.

Palike said that this will go a long way in convincing other public sectors to come on board to revise tax and clear their dues. “This move will avoid litigation, and will encourage central and state government undertakings to clear their dues,” said Deepak.

The BBMP had recently offered a one-time settlement scheme to clear property tax dues in the next six months from March 27. The Palike aims to generate an additional Rs 200 crore from this initiative.

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