HYDERABAD: Irked by Industrial Area Local Authorities’ inordinate delay in remitting property tax share to the Urban Local Bodies, the Telangana Municipal Administration Department has instructed Municipal Commissioners of ULBs to coordinate with IALAs and ensure they follow the due process and share the revenue.
On verification with the Municipal Commissioners at field level, it was found that the remittance of the share of 35 per cent payable by IALAs to the respective ULBs towards collection of property tax and other revenues as per Government orders is not being made immediately after the collection. The remittances are being made on a half yearly or yearly basis.
According to officials, the delay in releasing the property tax revenues due to the ULBs at regular intervals is hampering the developmental activities. Taking a serious view of the issue, Director of Municipal Administration Department, TK Sreedevi recently issued instructions to all Municipal Commissioners of all the ULBs to coordinate with the concerned IALA officials and ensure the Municipal share of payable by IALAs to ULBs is remitted immediately after collection.
Reminders ignored
Many of the IALAs established in the ULBs are not promptly depositing the remittances to the municipalities and municipal corporations. Despite reminders at regular intervals, several IALAs are not transferring due share of revenues collected by them to the municipalities or the municipal corporations.
The DMA officials told Express that in order to enable effective maintenance of civic services in the Industrial Parks, State Government has accorded Local Authority status to Telangana State Industrial Infrastructure Corporation Limited’s Industrial Parks under the provisions of Section 389-B of Telangana Municipalities Act 1965 and Section 679-F of Hyderabad Municipal-Corporation Act, 1955.The State Government has been notifying TSIIC Industrial Estates from time to time to perform certain statutory powers and functions like collecting property tax and other revenues, and to remit 35 per cent of the property tax and revenues collected to the ULBs concerned.
Lack of data
Also, there is no proper database or Management Information System (MIS) for ascertaining the precise details of the property tax and other revenues collected by IALAs and details of remittances made to the concerned ULBs with dates. Due to which the department could not review the status of collection made by IALAs to them. In this connection, the Municipal Commissioners of all the ULBs have been told to coordinate with the concerned IALAs and ensure the municipal share of 35 per cent payable by IALAs to the ULBs is remitted immediately after collection and not on half yearly or annual basis, in order to utilise the said funds for the development of the ULBs, they added.