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Posts Tagged ‘regularization’

BBMP to Issue notice to defaulting property owners for 2008-09 and 2009-10

Tuesday, February 9th, 2010

According to an estimate, nearly 2.5 lakh property owners have not paid their property tax for 2008-09 and 2009-10. Now, the civic authority plans to do a door-to-door survey to issue notices to the defaulting property owners and make them pay the dues.The demand notice will give them 15 days time to make the payments with two per cent penalty.

“Our officials have been visiting all these buildings and issuing notices to the occupants, irrespective of whether they are the owners or not,” said an official. BBMP expects to meet the shortfall of Rs 400 crore in the two months time.

Despite issue of notices,many of property owners has not paid property tax 2008-09 & 2009-10 under SAS.If the property tax for 2008-09 has been paid, property owners can avail the facility of online paying for year 2009-10 by using Visa/Mastercard on BBMP’s website.

The property owners without Occupancy Certificate can pay property tax under Self Assessment Scheme (SAS) with their title deed (sale deed).The property will be registered in BBMP’s B-Register until regularization of property.The property owners cannot file self assessment declaration once assessment order is issued. BBMP requests property owners co-operation during inspection and assessement by BBMP officials.

Last chance for defaulters

  • For payment made after 30th November 2009, an interest of 2% per month will be levied.
  • Property owners paid property tax for 2008-09 can avail the facility of online paying for the year 2009-10 by using Visa/Mastercard on BBMP’s website.
  • The property owners without Occupancy Certificate can pay property tax under Self Assessment Scheme (SAS) with their title deed (sale deed).
  • The demand notice will give property owners 15 days time to make the payments with two per cent penalty.
  • Further action will be taken against them as per the provisions, if defaulters do not pay their dues even after receiving demand notices.
  • Log on www.bbmp.gov.in or your nearest Help center for more details.

Sakrama to benefit 12 lakh properties

Friday, December 4th, 2009

The government hopes to collect a whopping Rs 5,000 crore as fine from the scheme in Bangalore city alone. Apart from penalty, there will be a substantial increase in the revenues of urban local bodies as all these illegal constructions would come under the tax net from next year.

The revised Akrama-Sakrama scheme, which was approved by the state Cabinet on Thursday, will benefit about seven lakh properties in Bangalore and about five lakh properties in other cities. Stating that the scheme was a one-time opportunity to get building violations regularised, Transport Minister R Ashok said he had recommended to the government not to encourage violations in future and initiate criminal proceedings on both property owners and BBMP officials. He has also recommended setting up of an authority to check violations and encroachments in future.

Former BMP mayor M Ramchandrappa said that the government has failed to take people into confidence before taking a final call on the revision of the Akrama Sakrama scheme. People have been kept in dark and they are not aware of the happenings related to the scheme, he said. However, we need to look into what revisions have been made in the scheme to further comment on this, he added. The government is only fooling people with the scheme. “How would they reduce it to 50 percent, when the scheme itself was never implemented? The new legislature is far from the people’s requirement,he added.

The revised Akrama-Sakrama scheme, which was approved by the state Cabinet on Thursday.The revised Akrama-Sakrama scheme will benefit about seven lakh properties in Bangalore and about five lakh properties in other cities. The government hopes to collect a whopping Rs 5,000 crore as fine from the scheme in Bangalore city alone.Transport Minister R Ashok recommended setting up of an authority to check violations and encroachments in future.He had recommended to initiate criminal proceedings on both property owners and BBMP officials.

The Akrama Sakrama Scheme will come up before the next Cabinet Meeting

Monday, November 16th, 2009

The Akrama Sakrama building regularization scheme will come up before the next Cabinet meeting for approval. According to an estimate, in Bangalore there are around 5 lakh illegal properties. Chief Minister B S Yeddyurappa said there are 8 lakh assessed properties and that the government can easily raise Rs 5,000 crore from the regularization drive.

The Akrama-Sakrama sub-committee headed by transport minister R Ashoka recently made a recommnedation to the government in this regard. B S Yeddyurappa said “after the Bill is adopted in the legislature, people will be given adequate time to apply for regularizing illegal buildings.” The draft Bill on the regularization of illegal sites and buildings will take up at the next Cabinet meeting.

Reference:

Sakrama to come up before Cabinet this week

New Akrama Scheme is likely to earn an additional Rs 1000 cr

Thursday, October 15th, 2009

The government plans to regularize all unauthorized layouts and housing sites developed before December 31, 2009 as against December 31, 2008. In the run-up to the BBMP polls, the government drastically slashed penalties from 20% to 8% for residential building and 25% to 20% for commercial buildings.

Continuing its efforts to fill its empty coffers and also with an eye on the upcoming BBMP polls, the state government on Wednesday indicated that the Akrama-Sakrama scheme will take a definite shape within a week.The cabinet sub-committee for regularisation of unauthorised constructions decided to issue a notification soon.

Initially, the revenue target was Rs 4,000 crore from this scheme.Now, with the extension of deadline it is likely to earn an additional Rs 1000 crore.The Akrama-Sakrama scheme was originally formulated during former chief minister H D Kumaraswamy’s regime but could not be implemented following strong opposition from people over high penalty rates.The then government had amended the Karnataka Town and Country Planning Act to introduce the regularisation as a one-time measure.

Links to refer

apartment-bangalore.com/bank-loans-for-sakrama-penalty

timesofindia.indiatimes.com/city/bangalore/New-Akrama-scheme-could-mop-up-Rs-1000-more

www.commonfloor.com/articles

Regularization of Unauthorized Property under Akrama-Sakrama Scheme

Thursday, September 24th, 2009

The Akrama-Sakrama Scheme, formulated during the H.D. Kumaraswamy government in 2007, could not be implemented following strong protest and severe criticism against regularizing the structures that violated the building bye-laws and the high penalty rates. The Cabinet Subcommittee, which met on Tuesday, has recommended slashing of penalty rates. The Akrama-Sakrama is expected to be ready for implementation in about a month from now, as the BBMP has to also finalize the penalties.

The Akrama-Sakrama Scheme regularize the property by imposing penalty on property that are either constructed violating building bye-law or purchased land outside the erstwhile city corporation limits. The scheme involved the payment of one time penalty by property ranging between Rs. 5,000 (for minor violations) to Rs. 2.10 lakh.

Regularization of unauthorized apartment

In case of regularizing an apartment, only the apartment owners association is authorized to apply for regularization and not individual apartment owners. If the association does not apply for regularization, then the supply of water and electricity is liable to be disconnected after issue of notice. An apartment coming up in an area allocated for parking cannot be regularized at all. If the application for regularization is not considered, then the fees will be refunded.

What Akrama-Sakrama Scheme means

If the violations in residential buildings in BBMP limits are within 25 per cent, penalty will be 6 per cent of the guidance value of that particular locality. If violations are more than 25 per cent, then penalty is 8 per cent. For commercial property violations within 25 per cent in BBMP limits, fines will be 20 per cent while for violations more than 25 per cent, fines will be 35 per cent.

Authorities cannot go above the fixed rate while collecting penalties though they can reduce it. The meeting also said violations in residential buildings should not be more than 50 per cent, while putting a cap of 25 per cent for commercial buildings. The earlier rule had considered 15 per cent and 20 per cent of the guidance value for residential building violations (within and more than 25 per cent violations), while it was 25 per cent and 40 per cent of the guidance value for commercial property violations.

Conditions for Regularization

The penalty will be based on the location of the unauthorized structure in a given zone. However, building law violations should be not more than 50 per cent for residential structures and 25 per cent for commercial buildings. Unauthorized constructions on government properties, parks and footpaths will be ineligible for regularization under the scheme. Further, people could seek regularization over a six-month period as against the earlier three-month period.

The Cabinet Subcommittee has recommended slashing of penalty rates applicable under the earlier Akrama-Sakrama Scheme by nearly 50 per cent. The Legislative Assembly recently adopted the Karnataka Land Revenue (second amendment) Bill 2009 which seeks to regularize all unauthorized layouts and housing sites developed prior to December 31, 2008.

Recommended Penalty

The penalty that the owner of a building on an unauthorized residential site measuring 20 feet by 30 feet will vary between Rs. 30,000 and Rs. 45,000 compared to the Rs. 72,000 which was fixed earlier. For 30 feet by 40 feet unauthorized site, the penalty will range between Rs. 60,000 and Rs. 90,000 compared to the Rs. 1.62 lakh fixed earlier. For a site measuring 40 feet by 60 feet, the penalty will vary between Rs. 1.80 lakh and Rs. 2.10 lakh compared to the Rs. 4.23 lakh suggested earlier. The penalties, which were earlier roughly 15 per cent of the guideline values of the properties, have now been reduced to 8 per cent.

The estimation is that there are nearly seven lakh unauthorized structures in Bangalore alone. The Akrama-Sakrama is expected to be ready for implementation in about a month from now, as the BBMP has to also finalize the penalties based on the residential and commercial zones.