BMC notices Mumbai Metro contractors for Rs 3.7- bn tax

03 Apr 2024 CW Team

The assessment and collection department of the Brihanmumbai Municipal Corporation (BMC) issued a notice to contractors working on the Mumbai Metro rail project. The notice stated that they had failed to pay property tax amounting to over Rs 3.7 billion. It was mentioned by the BMC that, due to ongoing Metro construction activities at various locations, the contractors were responsible for paying property tax for the casting yard plot.

Delays in payment were reported, and notices were served to companies including HCC ? MMC, CEC ? ITD, Doga Soma, and L&T. It was informed that in March 2022, the BMC had seized 24 properties of Mumbai Metro One, including Azad Nagar, Versova, and DN Nagar metro stations, due to non-payment of property tax since the commencement of operations.

It was also stated that the BMC had managed to collect Rs 22.13 billion in property tax so far, out of its target of Rs 45 billion for the fiscal year 2023-24. Property tax was noted as the second-highest revenue source for the municipal corporation. The BMC mentioned that it was prioritising the recovery of pending property tax. Notices had been issued to several contractors involved in the Mumbai Metro Rail project, and the names of contractors who were yet to fulfil their property tax obligations for the casting yard had been publicly disclosed.

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