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CDA fails to recover outstanding property tax near Rs2b

CDA fails to recover outstanding property tax near Rs2b

ISLAMABAD: The revenue directorate of the Capital Development Authority (CDA) has failed to recover outstanding dues of Rs 1901.55m on account of property tax and other charges from various buildings in the city.

The amount on account of property tax, water and allied charges from various residential buildings, commercial buildings, educational institutions, offices etc. has been due since years, according to the documents. The records of the CDA show that Rs 21.667m have been outstanding on account of property tax from Workers Welfare Funds building, residential houses, offices in sector F-6, G-6, G-5, Emigration Tower building in sector G-8/1 and FPCCI building in sector G-8/1. Similarly, Rs 6.16m have been outstanding on account of property tax from Benevolent Fund Building; Rs 5m from Printing Corporation of Pakistan Press; Rs 32.17m from Zarai Taraqiati Bank; Rs 53m from Gun and Country Club; Rs 678.43m from different educational institutions; Rs 42.71m from PTV; Rs 5.87m from Millennium Heights and Golden Heights (economy flats) in sector F-11; Rs 828m from the residential buildings and 459 commercial buildings and another Rs 111.83m from different properties in E, F, G and I sectors in the capital city, according to the documents.

The record shows that Rs 36m have been outstanding on account of property, water and allied charges from the commercial buildings in the city. Similarly, Rs 52.97m have been outstanding from media groups. Furthermore, Rs 16m have been outstanding on account of water and conversancy charges from US embassy; Rs 3.58m from Pak-China Friendship Centre and 7.15m from Centaurus Mall.

The non-recovery of outstanding dues was due to inadequate mechanism for enforcing rules and weak administrative controls. The notices were served to the relevant managements for payment of the outstanding dues but to no avail. It is pertinent to mention here that non-recovery of the property is a violation of the CDA Ordinance, 1960 and early action was required to be taken against the defaulters including referring their cases to Assistant District Collector for legal proceedings for effecting recovery along with arrears and surcharges besides taking corrective measures for identification of the non-tax payers but nothing has been done on part of the CDA officials to achieve the targets. The CDA has been facing financial constraints due to less revenue generation and more expenses. The CDA mostly makes money from auctioning commercial and residential plots.