Civic body starts sending legal notices to taxpayers for bounced cheques

PUNE: The Pune Municipal Corporation (PMC) has started taking legal action against property tax payers whose cheques bounce. The PMC has sent them legal notices. 

Four month ago, the PMC property tax department decided to file a police complaint against taxpayers whose cheques bounce, to increase property tax collection. After that, the PMC initiated action. The total amount of two cheques is Rs 6 lakh. 

While speaking to Sakal Times, PMC Joint Municipal Commissioner Vilas Kanade said, “We have sent legal notices and seek explanation from property taxpayers within 15 days. After that, we will file a police complaint against them.”

Normally, the PMC sends property tax bills in the month of April every year and May 31 is the deadline to pay bills, for which the PMC offers 5 to 10 per cent discount. In July, the PMC starts levying 2 per cent fine for late payment. 

PMC officials said each year, around 3,000 cheques bounce. However, earlier the department did not take any serious cognisance of such cases. Now, the department is serious about cheque bouncing as they want to achieve a target of Rs 2,200 crore for the year 2019-20. Last year, it was Rs 1,800 crore. But, the PMC  was able to collect only Rs 1,195 crore as tax throughout the year.

The city has 9.5 lakh properties including those in 11 newly-merged villages. Out of that, around 12.5 per cent are commercial and 3.5 per cent are open plot while 2 per cent are a mix of commercial and residential establishments. Remaining  82 per cent are residential.

THE SET-UP
Normally, the PMC sends property tax bills in April every year and May 31 is the deadline to pay bills, for which the PMC offers 5 to 10 per cent discount. In July, the PMC starts levying 2 per cent fine for late payment.