In a Gazette Notification dated September 28, 2020 the Madhya Pradesh Government has issued the Madhya Pradesh Municipality (Determination of taxable property value of building/land) Rules, 2020 (Rules). The Rules are effective since September 28, 2020.
These Rules have been formulated under the Madhya Pradesh Municipal Corporation Act, 1956 and the Madhya Pradesh Municipalities Act, 1961 for the purpose of determination of taxable property value for calculating the property tax in the state.
1. The Rules specify principal to be followed by the municipality for determining the taxable property value of every building and land situated in municipal area.
2. The Municipality will determine the rate of property tax, rate of taxable property, due date for filing return and payment of property tax, rate of surcharge and adopt the same by way of a resolution. The same will be published by the Municipality for awareness.
3. Every owner of the building or land of the municipal area, must himself calculate the taxable property value of his property and the amount of the property tax as per the rates of taxable property value described in resolution published by the municipality by adding the amount of water tax and the consolidated amount of general sanitary cess, general lighting tax and general fire tax and any other cess determined by the State Government. Owners must also indicate the information in the return and deposit the consolidated amount of the taxes in the municipality within the prescribed time along with the return.
4. If any person is the owner of more than one house or land in the municipal area, then every such owner shall pay the amount along with the separate return for each building or land,
5. If the owner of buildings or land finds any mistake in the return filed by him as above, then such owner may submit the revised return within 60 days from the date on which he had submitted the return. If the amount of property tax exceeds the previous tax wrongly paid, then he must deposit such amount in the municipality along with the revised return.
If the amount of property tax deposited earlier exceeds the revised return, then he may demand to refund such excess amount.
6. Each municipality will declare various systems for depositing amount of property tax like online, counters or designated agencies and bank branches etc.
7. If any owner of building or land does not deposit the amount of tax in the municipality along with the return, within the fixed date, then apart from the taxable amount, the surcharge at the rate determined
Source: Madhya Pradesh Government
