Srinagar : The J&K government on Tuesday ordered the imposition of property tax at five per cent of taxable annual value (TAV) for residential properties and six per cent for commercial properties in municipal areas of the Jammu and Kashmir from April 1.
“In exercise of the power conferred by section 71A of the Jammu and Kashmir Municipal Act 2000, the government hereby notifies the rules for levy, assessment and collection of property tax in the municipalities and municipal councils of the Union Territory,” Housing and Urban Development Department Principal Secretary H Rajesh Prasad said in a notification. The rules also define TAV.
As per the rules of notification, a person liable to the property tax shall be liable to furnish to the officer authorised in this behalf particulars of property and tax due by May 30 financial year. Second installment of tax shall be furnished by November 30 along with proof of receipt of first installment.
In case of failure to pay tax, penalty of Rs 100 or one per cent will be imposed, it said, adding the maximum penalty shall not exceed Rs 1,000.
There is a provision for inspection, assessment and reassessment in the Act. There is a provision for appeal to be made to the director of local bodies until the board in this direction is set up, it said.
“Vacant lands, not appurtenant to a structure/building shall be exempt from property tax if there’s a Master Plan in force in the area, under which any construction/development on such vacant land is disallowed or if they have been put to agricultural use as per 6- monthly cropping surveys of the Revenue department,” the notification, a copy of which lies with GNS, reads.
Similarly, it said, all the properties of the Municipality and all places of worship, including temples, masjids, gurudwaras, churches, ziarats, etc and cremation and burial grounds shall be exempt from payment of property tax.
“All properties owned by Government of India / UT Government shall be exempted from payment of Property Tax,” it said, adding, “However, service charge at the rate 3% of the taxable annual value shall be payable to the Municipality in respect of such properties.”(GNS)
