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[aryan]

AHMEDABAD: If the recent 400 per cent hike in land jantri rates has set your heart racing, here is a reliever - the Ahmedabad Municipal Corporation ( AMC) has decided not to raise the corresponding property tax rates for two financial years. So, any hike in property tax rate, corresponding to jantri rates, can be expected only in the financial year 2013-14. The property tax formula makes use of various factors to decide the amount to be charged from the owner. These factors are carpet area of the property, location, age and type of property (chawl, flat, bungalow, commercial or residential use) rented or privately owned. Each of these has been assigned a value based on jantri rates.

"An increase in jantri would mean a change in the value of the tax rate. But that has been suspended for now as it is not permissible under prevailing municipal laws," said a senior official. The last time the property tax rates were revised was in 2008-2009, based on the jantri rates of 2008. The next revision of classification would be undertaken in 2013-14. "The classification revision happens every four years. The factors of the property tax do not change. Only the tax rate that is linked to the jantri rate of a particular area changes after the standing committee takes a call on the issue," added the official.

The prevailing classification has 1.6 as the location factor for developed area while it is 0.9 for other areas. While the factors for age of property is between 1 and 0.5, the factor for type of property varies between 1 and 0.5, that for type of property ranges between 2 and 7, while residential property has been assigned a factor of 1 while that of commercial factor has been assigned a value of 2.