mcchandigarh.gov.in Property Tax Payment : Municipal Corporation Chandigarh

Organization : Municipal Corporation Chandigarh
Service Name : Property Tax Payment
Location : Chandigarh

Website : http://mcchandigarh.gov.in/

Property Tax Payment :

How rateable value of a building is to be calculated?:
A person first has to locate the group in which his building falls. Thereafter he has to locate the zone in which the building is included.

Related : Chandigarh Municipal Corporation Online Water Bills : www.statusin.in/10636.html

Then he shall have to find out the rates applicable to the said zone. He has to ascertain the floorwise built up area of the building, the built up area floorwise is to be multiplied by the rates given for various groups to arrive at monthly rateable value.

Thereafter he shall have to multiply the said rateable monthly value by 12 to arrive at annual rateable value. Thereafter a rebate of 10% for the purpose of repair and maintenance is to be taken from the said rateable value. This is net rateable value. The tax at 3% has to be calculated on this net rateable value.

What are the advantages for adoption of self assessment scheme?:
The taxpayers adopting self assessment scheme would automatically earn rebate of 10% on the assessed tax if tax is paid for the entire financial year in one instalment and if paid in two instalments between 1st April to 30th April and 1st October to 31st October then they will earn rebate of 5% on each instalment.

Further the taxpayers shall have not to pay interest at the rate of 18% and also shall not face any proceeding for imposition of double the penalty of the amount of tax due. the taxpayer not adopting self assessment scheme shall have to pay 25% of the tax assessed in excess. Once a taxpayer adopts Self Assessment Scheme the same shall not be reopened/ amended for a period of 3 years.

Whether residential buildings partially or fully used for commercial purpose are liable for tax?:
Yes, the built up covered area of the residential building used for commercial activity has to be taken into account for calculating the tax.

Whether religious buildings are liable to be taxed?:
Religious buildings are exempted from payment of tax. However the built up area in the religious building used for commercial activity is liable to be taxed.

What incentive is given for payment of tax under self assessment scheme?:
The residents are entitled to 10% rebate if they pay the entire tax for the whole year between 1st April to 30th April of the financial year in one instalment.

Whether the tax can be paid in instalments?:
Yes, in two half yearly instalments.

Whether any rebate or relief is given on the instalment under self assessment scheme?:
Yes, a person depositing tax in two instalments under the self assessment scheme between 1st April to 30th April and 1st October to 31st October is entitled to rebate of 5%.

In what manner the tax is to be deposited and where to be deposited:
The payment of tax can be paid through cheques/DD or in cash in the 9 branches of Oriental Bank of Commerce which are located in the Sectors:- 17-B, 17-E, 19-B, 26, 34-A, 33-B, 44, 37-D and Manimajra.

If a person neither pays tax under the self Assessment Scheme nor pay any tax after the receipt of bill within the stipulated period. What penalty is liable to be imposed ?:
If a person does not come forward to pay the tax within the stipulated period either under Self Assessment Scheme or after the receipt of Bill he shall be liable to pay interest @ 18% P.A. till actual payment of tax besides the competent authority is empowered to impose penalty equal to double the amount of tax payable/tax in arrears.

If despite imposition of penalty a person does not come forward to pay the tax what further action can be taken by the Municipal Corporation, Chandigarh?:
1. By distraint and sale of defaulter’s movable property
2. By the attachment and sale of defaulter’s immovable property.
3. In case of taxes of land and buildings by the attachment of rent due in respect of the property.

Whether any maximum or minimum tax payable have been prescribed?:
Maximum tax payable has not been prescribed and the same has to be calculated on the rateable value. However, minimum amount of tax has been prescribed and a person is liable to pay Rs.50 per month i.e. Rs.600 per year as tax.

Who is primarily responsible for payment of tax?:
1. If the land or building is let to the lessor
2. If the land or building is sublet to the superior lessor
3. If the land or building is un-let upon the person in whom the right to let the same vests.
4. If any land has been let for a term exceeding one year to a tenant and the tenant has constructed building upon the land, the tax is payable by the tenant.

Whether the rateable value is to be rounded up to the nearest 50 or 100?:
The rateable value after the calculation has to be rounded up to the nearest multiple of 100.

What initial procedure has to be followed for payment of tax under the Self-Assessment Scheme?:
A person has to fill up a form Part I giving general information with regard to the property liable for tax. Thereafter the person has to calculate the retable value and pay the tax after filling up form Part II annexed with the bye laws.

Whether Xeroxed/Photocopy of the forms can be used?:
Yes, a person can use Xeroxed/photocopy of forms Part I and II for the purpose of assessment and payment of tax.