MARGAO
As curtains are set to come down on the current financial year, the Margao Municipal Council may have a task cut out in the new financial year “ how to recover the huge outstanding revenue pegged around Rs 20-25 crore?
In fact, tax arrears running into crores of rupees has been staring at the A class Municipal body for want of any mechanism in place to effect the revenue recoveries. And, the situation has only turned from bad to worse with each passing year.
Take note, the Margao civic body has roped in a Recovery Officer to help effect the revenue recovery, but the cash-starved Municipality, which is struggling to clear the monthly salaries of the employees and workers, is indeed facing a challenge of sorts in effecting the recoveries.
Otherwise, consider this. Latest statistics compiled by the civic body has revealed that tax arrears on the house tax front have touched a whopping Rs 11.70 crore. Add, Rs 9.52 crore revenue due to the Council from the sanitation front and the figure nearly touches an all-time high of Rs 21 crore outstanding recoveries.
That’s not all. Revenue from trade licence and advertising signboards have almost touched a whopping Rs 3 crore. Take note, the outstanding figures pertaining to trade licence and advertising signboards is just a tip of the iceberg as the civic body has not revised the advertising rates coupled with the fact that thousands of shops and establishments are operating across the commercial capital without the mandatory trade licence and approval to display the advertisement signboards.
What’s important to note that the Municipality has even failed to collect rent from its properties, including markets, with sources saying the arrears on rent runs into lakhs of rupees, indicating that all’s not well in the civic body on the revenue recovery front.
Former Margao Municipal Chairperson and councillor Ganashyam Shirodkar has expressed his total unhappiness with the civic body over the mounting tax arrears. “It is indeed sad that the tax arrears have been increasing by the day, which has left the civic body struggling to even arrange funds to clear the salaries. If the Margao Municipal taps the taxes and mops up the revenue, we need not even go to the government for funds,” Shirodkar said, while calling for sustained efforts to mop up the revenue.
Recovery Officer Bhagat is not new to the civic body having worked in the Margao Municipality as its recovery officer. He, however, is bracing a challenge of sorts how to effect the huge outstanding recoveries. “After I joined office two months ago, I have got all the details from the taxation section. We intend to go about systematically from the new financial year by ensuring that the bills are served on the tax payers on time,” Bhagat added.
Margao Municipal Chief Officer, Agnelo Fernandes admitted that the tax arrears have mounted in recent years, while saying that the civic body has appointed a dedicated Recovery Officer to effect the revenue recoveries.
He told The Goan that he has put up a note for the taxation section to identify all the big time tax defaulters and go after them in the first round of recoveries. “The MMC has appointed a Recovery Officer since the last two months. Since we are entering a new financial year from April, I will call for a meeting of the taxation section and the Recovery Officer how to go about in recovering the taxes and to mop up additional revenue,” the Chief Officer said.
Council lacks will in working towards making body financially strong: SCM
MARGAO: Shadow Council for Margao convenor Savio Coutinho has said the primary reason for the mounting tax arrears is that the Council has no interest whatsoever in working towards making this body financially strong. “We are sorry to say that the “rozzi-roti” exclusively comes from the loyal taxpayers. It is these responsible citizens who come on their own and pay their dues annually,” he said.
Coutinho added: “There are a host of issues that need to be addressed so as to bring income into the civic coffers. First and foremost, house tax transfer process needs to be made a time-bound affair. Hundreds of transfer applications hang onto the tables in the tax section, as applicant’s make end number of trips to complete the transfer process. Half of them give up mid way and don’t bother to pay since the receipts are issued in the previous owner’s name.”
He said another important reason for the rapid rise in tax arrears is the arbitrary imposition of sanitation fees in 2017. “As it is common knowledge thousands of residential/commercial premises are locked/unused. Earlier, they used to pay only house tax. After the sanitation fees were added in the house tax, the taxpayers are wary of the additional burden,” he said.
Coutinho said the Council is spending money on the appointment of personnel for the recovery, but no targets are set for the appointed officials.
“We still believe that Margao has a very huge potential to become a self-reliant Council. “All that is required is a strong will to tap all the sources of revenue. Sadly, the Council lacks the will,” he asserted.
