Top 100 Property Tax Defaulters Owe Corpn 45 Crore | News from Coimbatore

Coimbatore: The total property tax owed by the top 100 defaulters to the municipal corporation is 44.91 crore, according to details released by the corporation. Most of the top 10 defaulters are hotels and educational institutions.
PSG and Sons Charities topped the list with 7.22 crore. It was followed by The Sas Residency (5.92 crore), The Oriental Hotel (4.41 crore), Hotel Jegatheeswari (2.05 crore), United Builders and Constructions (1.42 crore), Milky White Apartment (1 .31 crore) and CAG Hotel (1.03 crore). Valuations on behalf of K Palaniappan owe 92.51 lakh, while Nithiya Kumar owes 79.84 lakh. Similarly, valuations held by N Nagendran owe 71.38 lakh.
An official said the company could not collect taxes from at least half of the defaulters for years as cases pending in the District Courts and the High Court progress slowly.
In the meantime, the company is in the process of updating property tax records. He distributes self-declaration forms to building owners, in which the owners must give details such as the tax currently collected, the year of construction, the floor area, the use, the connection numbers to water and UGD and the type of roof of the building. Building details such as commercial, residential and industrial types are collected separately.
The official said the details will help the company revise property taxes based on recently revised tax rates as the building may have undergone expansion or conversion from commercial to residential purposes or vice versa. Action would be taken against owners if they provided incorrect information, the official said.
The company earned 190 crore in property tax per year from 5.41 assessments in the city. With the revised rates, which were approved by the council last month, the company’s property tax revenue is expected to exceed 300 crore.
Property tax rates have been increased by 25% for residential units under 600 square feet, 50% for homes between 601 and 1,200 square feet, 75% for homes between 1,201 and 1,800 square feet and 100% for homes over 1,800 square feet. Similarly, tax rates have been increased to 75% for industries and educational institutions and 100% for commercial buildings.

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