After the proposal of the Union Territory administration to impose Property Tax in urban areas has snowballed into a big political issue, the government has sought feedback from the general public over the proposed tax.

A bandh was observed in Jammu city against the proposed Property Tax in the Union Territory. The bandh was called by the Chamber of Commerece and Industries (CCI) and supported by different political parties.

A notice issued by the Housing and Urban Development has sought suggestions and comments from the general public over the imposition of Property Tax in Jammu & Kashmir.

"The UT of Jammu & Kashmir is imposing a levy of Property Tax on residential houses/apartments, commercial establishments, within the municipal areas from April 01, 2023, in terms of two notifications issued by the H&UDD on February 21", the notice reads.

"Any suggestions/ comments in this regard are welcome and may be sent to the Housing & Urban Development Department at the email address within 10 days," reads the notice.

Manoj Sinha

LG says doors are open for dialogue on Property Tax

Earlier Lieutenant Governor Manoj Sinha said that doors are open for dialogue on this issue.
Speaking on Property Tax, the Lt Governor said, "People's interest is our 'top priority'. The doors of administration are open for dialogue".

"We have released a Toll-Free number on which suggestions can be given by the people. Our doors are always open for dialogue. Suggestions aimed at simplification of tax and facilities to be given will be considered," he said, adding, "There is no scope for the politicization of the issue".
The Lieutenant Governor reiterated that Property Tax imposed in Jammu and Kashmir is one-tenth of the rates in Ambala, Shimla, and Dehradun.

Property Tax

"People in rural areas don't have to pay any tax. Forty percent population in City too won't have to pay taxes. Another 40 percent will have to pay a maximum tax of Rs 1,000 per year. Similarly, in commercial installations totaling 1,01,700; nearly 40,000 will have to pay Rs 700 per annum and another 36,000 will be paying a maximum of Rs 2,000 annually," Sinha said and pointed out that even a Rehriwalla pays Rs 5000 every year to Municipalities.

Property Tax to be imposed from April 1

On February 21, the Jammu and Kashmir government has approved the imposition of property tax in all the Urban Local Bodies (ULBs) of the Union Territory. During the last couple of months, there were reports that the government was going to impose property tax in urban areas.

The Jammu and Kashmir Government issued an order imposing Property Tax on all properties – residential or non-residential at rates of 5% and 6% respectively annually of Taxable Annual Value (TAV) effective from Ist April 2023.

The notification issued as SO 87 exercising powers conferred by Section 71A of Jammu and Kashmir Municipal Act 2000 (read with sub-section 1 of section 65 and sub-section 1 of Section 73), the government notified new rules called Jammu and Kashmir Property Tax (Other Municipalities) Rules 2023 which shall come in force from April 01, 2023.