Vijayawada Municipal Corporation is mulling to go for a tax revision to strike a balance with its income and growing expenditure. The property tax under VMC is not revised for the last 12 years and with the income collected, VMC is not able to satisfy the growing needs of the city.
Also now due to the close proximity to the upcoming capital in the state, Vijayawada will undergo rapid changes very soon and so the tax revision is imminent now. The VMC is collecting Rs. 74 crore as property tax now and the revised target will be 100 Crore.
There are demands that the VMC should consider leaving out residential properties for this tax hike. But Corporation sources say it is not possible as the taxes of non-residential properties were already hiked up to 100% in two occasions of 2007 and 2011.
