Mira Bhayandar: Civic body to physically auction tax default properties

The Mira Bhayandar Municipal Corporation (MBMC) has finally decided to act tough against property tax defaulters in the twin-cities. Apart from intensifying the recovery drive with a special focus on chronic defaulters, the MBMC's tax department has now decided to conduct physical auctions of attached properties. The step was taken after the tax department failed to get a single bid for thirty out of 161 properties which were put for auction, not once, but twice on the e-auction platform linked to MBMC's official website last year.

MBMC prepares list of 161 immovable assets owned by major tax defaulters

After following the due process of law including assessments by an approved government valuer, the MBMC prepared a list of 161 immovable assets owned by major tax defaulters who collectively owe the civic body a whopping ₹ 7 crore. The list of assets along with auction details will be floated soon and after getting a buyer, the tax department will recover its own dues. After deductions of any other outstanding loans, unpaid bills or other taxes, the remaining amount will be handed over to the property owner. “If we fail to get buyers this time, we have already got a plan B in place. The properties will be acquired and used either for our offices or staff quarters as per their location and the corresponding need to accommodate people-friendly services,” deputy civic chief Sanjay Shinde said.

MBMC aims to recover at least ₹ 200 crore

As per information sourced from the tax department, the collection target was set at ₹ 190 crore for the financial year 2021-22, out of which the MBMC had managed to mop up just ₹ 161 crore. This year, the MBMC is mandated to recover at least ₹ 200 crore to keep itself qualified for grants under the 15th finance commission. However, so far, a little above ₹ 123 crore has been recovered, saddling the tax department with the daunting task of mopping up at least ₹ 75 crore of the outstanding amount in three months. The assessed number of properties in the twin-cities is currently pegged at around 3,68,501, including 63,498 commercial and 3,05,003 residential units.