What’s inside:
This article discusses the new property tax changes in Patna for non-residential buildings.
Patna Municipal Corporation has made big changes to the property tax system for non-residential buildings in the city. This new tax plan has been introduced to make things clearer and fairer. The goal is to improve the city’s finances and support urban development.
Under the new rules, taxes will be based on how properties are used. For example, hotels, gyms, private hospitals, and banks will see their property tax doubled. These establishments have been given a tax coefficient of 2, meaning they will pay twice as much as before. The Municipal Corporation feels this is fair since these places have more commercial activities.
Other businesses like showrooms, shopping malls, and restaurants will face an increase too, but not as steep. They will have a tax coefficient of 1.5, which will also raise their tax payments. The Municipal Corporation claims this increase is reasonable and based on the activities taking place in these establishments.
Educational and health-related private institutions will also be affected. Coaching institutes, nursing homes, and private schools will have a tax coefficient of 1.5. This means they too will have to pay more tax than before, following the same principle of activity-based taxation.
On a positive note, non-commercial government offices will keep their tax coefficient at 1, and religious institutions will be completely tax-free. The Municipal Corporation believes this new tax system will help distribute resources better and lead to more development in the city, although there are discussions about the increased burden on businesses and educational institutions.
Summary:
- Patna has introduced a new property tax system for non-residential buildings.
- Tax rates are now based on property usage and activities.
- Hotels and similar businesses will pay double the previous rates.
- Educational and health institutions will also see tax increases.
- Government offices remain at the same tax rate, while religious institutions are tax-free.
