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How much for property tax

How much property tax do you pay? What are you getting in return?

Is the tax that you pay the BBMP coming back to you in the form of good infrastructure? If not, what is happening to the money? What does the data say? Take a look at this article.

By News Desk. 06 Aug 2015. Citizen Matters

Citizens of Mahadevapura and East zones, including Bellandur and Whitefield area are up in arms against the system that surrounds them. They pay taxes every year, but the infrastructure around them is broken. They have to fight with the system everyday for everything: good roads, clean water, garbage disposal, pollution, traffic problems and more.

There is a good amount of citizen activism in the area where there is a presence of well-educated people employed in various corporates. However, the issues don’t get sorted as quickly as they should.

This brings us to the question: how did a part of the city end up becoming like this? How much tax does the area pay actually? And what does it get in return?

Check this graph: It tells you what exactly is happening.

Graph of tax per head v/s funds allocated by BBMP per head, for 2013-14. East and Mahadevapura zones contributed more tax but received less allocation compared to others.

Mahadevapura, East zones get less per capita allocation

Black fridays in Whitefield

Fed up of the poor infrastructure and slow pace of work that goes into providing it, Whitefield Rising, a community group in Whitefield, has called for Black Fridays - where people will wear black dresses to express their protest against the status quo. This will be a part of the Whitefield Bachao andolan the group will be spearheading.

An analysis of property taxes paid across the city and the budget allocation for each zone, done by Citizen Matters confirms the trend: that Mahadevapura usually got an allocation per capita, that was less than per capita tax paid in the zone.

When one looks at the allocation per ward,

it certainly looks huge and better than many other zones. However, when the population in the wards is considered, allocation per head goes down.

The shorter blue bars and bigger purple bars in the below graph for 2014-15 indicate the continued allocation higher than the property tax paid for all other zones, except Mahadevapura zone. Property tax is not the only tax paid by the people in an area, or the only source of income for the government. But it gives an idea of the income that can be generated in that area.

Graph of tax per head v/s funds allocated by BBMP per head, for 2014-15. Mahadevapura zone continued to contribute more tax but received less allocation.

In the tables below, the financial allocation for each zone is a combination of ward level allocations and zone level allocations. It excludes project-specific funds from the State and Central governments (JnNURM), such as those meant for flyovers and water projects. It also excludes revenue expenditure for the city set aside in the budget.

According to the statistics collected, East zone has contributed highest property tax with the total collection of Rs 927.42 crore in two years three months. However, the funds allocated to East Zone was only Rs 781 crore in the three years.

Mahadevapura zone has contributed a property tax of Rs 720.51 crore and got an allocation of Rs 577.96 crore. In contrast, the West zone collected a tax of Rs 619.51 crore but got an allocation of Rs 1119.81 crore in last three years. Rajarajeshwari Nagar contributed Rs 190 crore and Dasarahalli a mere Rs 144 crore.

Percentage of total property tax collected from various zones in BBMP for 2013-14, 2014-15 and 2015-16.

The graphs for 2013-14 and 2014-15 show that contribution of tax per head is higher for Mahadevapura and East zones, while the money allocated by the BBMP per head is low compared to other zones, and way below the tax paid.

Zone-wise property tax collection in BBMP during the financial year 2013-14, 2014-15 and 2015-16:

Category: Taxes

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