Property taxation needs structural reform

Property taxation needs structural reform left There are three life stages of property tax — enumeration (identification of properties and maintenance of property records along with property details), property valuation and tax assessment, and tax billing and collection. Representative file image used. Getty Images/iStockphoto Getty Images/iStockphoto https://th-i.thgim.com/public/incoming/eof9wz/article71557223.ece/alternates/FREE_1200/iStock-1270111816.jpg bymuratdeniz Home tax deduction The property tax performance of India’s municipal bodies has been poor — India’s cumulative property tax was 0.15-0.2% of its GDP A robust property tax system is vital for India’s cities. Property tax is not just the most important own revenue source for India’s municipal bodies, it is also critical to bridge the gap in urban investment, as such investment depends on municipal creditworthiness. However, the property tax performance of India’s municipal bodies has been poor — India’s cumulative property tax was 0.15-0.2% of its GDP, whereas it was 0.6% in middle-income countries and 0.3% in low-income countries.