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Uttar Pradesh: GIS surveys and digital payment boost property tax revenue

#Taxation & Finance News#India#Uttar Pradesh
Last Updated : 1st Nov, 2024
Synopsis

The Urban Development Department of Uttar Pradesh announced a 33% revenue increase in the first half of the fiscal year, with collections rising from INR 1,054 crore to INR 1,401 crore. Factors contributing to this growth include the expansion of municipal boundaries and a digital transition in tax collection. The Lucknow Municipal Corporation led with a 43% increase, while Aligarh, Mathura, and Ayodhya posted remarkable growth rates of 183%, 139%, and 88%, respectively. Principal Secretary Amrit Abhijat highlighted ongoing efforts to achieve a total revenue increase of 50% by year-end.

The urban development department has reported a 33% increase in revenue during the first half of the current financial year compared to the previous year. Between April 1 and September 30 of 2023-24, the civic bodies in Uttar Pradesh collected INR 1,054 crore, with this year's collection rising to INR 1,401 crore for the same period.


Officials explained that the expansion of municipal corporation boundaries due to increased urbanisation has resulted in more households being added to the tax rolls, leading to higher property tax revenues in exchange for urban services. Additionally, ongoing compliance efforts through sustained campaigns and initiatives have encouraged defaulters to come forward and settle their outstanding fines.

While the Lucknow Municipal Corporation experienced impressive growth of 43%, generating INR 446 crore in the first half of the year, the civic bodies in Ghaziabad and Kanpur also saw an increase in revenue. Officials noted that the 17 municipal corporations improved their financial standings compared to the previous year, with particularly strong performances in Aligarh, Mathura, and Ayodhya.

The ongoing geographical information system (GIS) survey has led to the registration of a greater number of properties, which has contributed to higher property tax mobilization. Additionally, the transition to an online payment system and the introduction of new services via a mobile app have expanded the reach of these three corporations among residents.

Principal Secretary Amrit Abhijat noted that digital data collection and public platforms have significantly contributed to the growth of smaller corporations. Initiatives like Samadhan Diwas, public hearing days designed to address grievances, encouraged residents to come forward and make their payments. Cities like Aligarh, Mathura, and Ayodhya closely monitored daily collections and consistently explored new ways to enhance revenue.

Aligarh experienced a remarkable 183% increase, while Ayodhya and Mathura saw tax collections rise by 139% and 88%, respectively. Abhijat indicated that efforts are underway to achieve an overall increase of 50% by the end of the fiscal year.

The initiatives implemented by the Urban Development Department not only showcase effective revenue generation but also reflect a commitment to improving municipal services and engaging residents.

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