17 - 04 - 2020

CREDAI Bengal Daily News Update | 17.04.20

WEST BENGAL NEWS

West Bengal launches e-registration of property documents

The move is aimed at reopening revenue channels for the government that has become

cash starved following the lockdown. It has offered a discount in registration fee for those

who undertake this before May 31.

The state on Thursday introduced e-registration of property documents so that a part of the

registration process, including verification of documents and payment of stamp duty, can be

done online from home.

The move is aimed at reopening revenue channels for the government that has become cash

starved following the lockdown. It has offered a discount in registration fee for those who

undertake this before May 31.

Developers said it could help them register agreements of sale for deals concluded prior to

lockdown so that they could collect payments from customers. Also, developers who have

completed projects but were unable to hand over the property to customers despite completion

certificate can now register the sale deed.

Chief secretary Rajiva Sinha said, “This is an emergency situation and considering the urgency

of property registration the state will start the e-registration process where the people can

submit their entire e-deed online and they will be provided with a provisional digital certificate.

This certificate will be valid everywhere.”

To complete the biometric identification required to complete the registration process, people

will have to visit the registration office after the lockdown is withdrawn. Sources said in case of

bulk deed, an official from the registration directorate would visit the appointed location of the

location of registrants to complete the process and deliver the deeds. The state cabinet also

decided to give a reduction of 20% registration fees with a ceiling of Rs 20,000 to people who

will avail of this new system till May 31.

Nandu Belani, president of Credai Bengal, said the move would help cash-strapped developers

to also collect funds. Credai West Bengal president Sushil Mohta called for greater awareness

about the e-registration process.

________________________________________________________________

Newspaper/Online ET Realty (Online)

Date April 17, 2020

Link https://realty.economictimes.indiatimes.com/news/technology/west-bengal-

launches-e-registration-of-property-documents/75192309

OTHER NEWS

RBI cuts reverse repo rate by 25 bps to 3.75%: Key points

Reserve Bank of India (RBI) governor Shaktikanta Das on Friday addressed the media amid the

ongoing coronavirus crisis. This comes just a day after Prime Minister Narendra Modi met

Union finance minister Nirmala Sitharaman to discuss contours of a proposed stimulus package

to kick-start India's stalled economy.

* Under liquidity adjustment facility (LAF), reverse repo raate (rate at which RBI borrows

funds from banks) reduced by 25 basis points (bps) to 3.75%; repo rate -- rate at which RBI

lends money to banks unchanged (4.40%) as the decision is taken by the MPC (Monetary

Policy Committee)

* RBI's Rs 50,000 crore liquidity support: Rs 25,000 crore for NABARD (National Bank for

Agriculture and Rural Development) Rs 15,000 crore for Sidbi (Small Industries Development

Bank of India); Rs 10,000 crore for NHB (National Housing Bank)

* 90-day NPA (non-performing asset) norm not to apply on moratorium granted on existing

loans by banks

* LCR (liquidity coverage ratio) requirement of banks brought down to 80% from 100%; to be

restored in phases by April next year

* Banks not to make any further dividend payout in view of financial difficulties arising from

Covid-Covid-19

* In the period ahead, inflation could even recede further, barring of course any supply side

disruptions and may even settle well below the target of 4 per cent by the second half of 2020-

21

* Covid-19: RBI has been very proactive and monitoring the situation very closely; it will

monitor evolving situation continuously and use all its tool to deal with pandemic fallout

* On IMF projection: India is expected to post sharp turnaround in 2021-22

* IMF projection of 1.9% GDP growth for India is highest in India is highest in G20

* Impact of Covid-19 not captured in IIP (index of industrial production) data for February

* Automobile production, sales declined sharply in March; electricity demand has fallen sharply

* Contraction in exports in March at 34.6% much more severe than global financial crisis of

2008-09

Newspaper/Online The Times Of India(Online)

Date April 17, 2020

Link https://timesofindia.indiatimes.com/business/india-business/rbi-governor-

shaktikanta-das-media-address-key-points/articleshow/75193072.cms

* No downtime of internet or mobile banking during lockdown; banking operations normal,

* Surplus liquidity in banking system has increased substantially as result of central bank

actions

* Frontline workers (doctors/nurses/social) have shown a great work

This is the RBI governor's second press briefing since the Covid-19 outbreak. In his previous

address on March 27, he had announced a rate cut of 75 bps. The extension of the lockdown till

May 3 has triggered fresh demands for a stimulus as companies are finding it difficult to pay

salaries and meet other costs because of the loss of a large part of their revenue. _________________________________________________________________________________________________

Coronavirus Lockdown 2.0 Guidelines | All about restarting

construction activity with conditions

Well-funded projects, including infrastructure projects are likely to see immediate

construction activity after the lockdown is lifted

Offering some relief to the construction sector, the government on April 15 relaxed guidelines

for lockdown 2.0 permitting some construction activity in the non-COVID-19 hotspots starting

April 20. However, this is only provided strict social distancing guidelines are followed and

construction workers are locally available on the site.

Real estate experts said the resumption of construction activity from April 20 onwards, would

send out a positive message to both investors, occupiers and homebuyers. It would ensure

healthy cashflows at least for projects that are close to completion and unlock further

investment potential.

Also, it is the well-funded projects that are likely to see immediate construction activity after

lockdown is lifted. Developers will first look to start with projects that are already nearing

completion to generate positive cashflows. Public infrastructure projects are also likely to take

off first.

According to KPMG, total construction projects worth more than Rs 59 lakh crore are under

development, most of which would have been impacted severely by COVID-19. The Indian

construction sector employs over 49 million people, close to 12 percent of the nation’s working

population. Further, it has a multiplier effect on nearly 250 allied industries.

Newspaper/Online Money Control(Online)

Date April 15, 2020

Link

https://www.moneycontrol.com/news/business/real-estate/coronavirus-lockdown-2-

0-guidelines-all-about-restarting-construction-activity-with-conditions-

5148741.html

on project sites, even with a limited workforce, is certainly welcome. That said, since many

migrant workers had left for their villages post lockdown 1.0 announcement, we will have to

wait and see how many are actually left back to resume work. Migrant workers comprise at

least 80 percent share of the total 44 million workforce in the construction sector currently,”

said Anuj Puri, Chairman – ANAROCK Property Consultants.

As far as construction activity in non-hotspots is concerned, developers will need to focus on

resuming construction on projects that are already nearing completion and have a completion

deadline within 2020.

Chairman and MD, Hiranandani Group and National President - NAREDCO said, “The real

estate industry acknowledges the positive impact this will have in handling the migrant crisis

and avoiding an economic crisis. Allowing phase-wise reopening of economic activity with

precautions being adhered to is the right step to refuel the economic growth trajectory of the

country. With this economic activity will be resumed. Considering the estimated loss of Rs

26,000 crore per day to the Indian economy as a result of the lockdown, this relaxation of lifting

the lockdown is a constructive step.”

Under the new guidelines, transportation of goods without any distinction of essential or non-

essential has also been allowed. This means that developers can procure raw material to restart

work.

After the lockdown, there would be immediate traction from existing buyers. "Even a

conditional and limited resumption of construction work would provide some reprieve, help

eradicate a further six-month delay and ensure that losses are reduced by 30 to 40 percent," said

Pankaj Forais, Founder and Managing Director, Liases Foras.

How do you maintain social distancing in the real estate sector?

Under the fresh guidelines, contractors along with developers will need to ensure that social

distancing is maintained at the sites and will need to find ways and means of achieving it. For

basic hygiene and safety precautions, companies can regularly sanitize sites and provide

labourers with masks, soap and sanitizers for washing hands frequently.

This surely will change the rules of the real estate sector. The focus of developments going

forward, assuming construction activity will be allowed to resume, would be on three ‘S’-

screening, sanitation and sanitization of labourers, labour camps and construction sites.

“A graded approach is the key to the success of enforcing discipline across construction sites.

As the workforce gets ramped up on construction sites the full rigours of screening,

infrastructure and protocols will be available to manage the pace of developments,” explained

Indranil Basu, Director, Project Management, (South India) Colliers International.

The number of labourers that need to be employed at the project site will have to be assessed

basis the stage of construction the project is in and the category of the project.

“A graded approach is not about starting construction at breakneck speed. Planning will hold

the key. Plan your work priorities, enforce proper work environment and infrastructure,

screening and sanitation measures, and augment workforce with the focus on critical activities,”

he said.

Real estate projects would have to be assessed based on the stage of construction that they are

currently in, and also on the asset class of the project. “The approach for restarting a

commercial project would vary from that of a residential or an industrial project. The number of

labourers deployed at a residential project site is generally more than the number deployed in an

industrial development where the focus is more on mechanization,” he said.

Also, if a project is in a structure stage, the number of labourers required at the site would be

much more. Therefore, the developer would have to focus more on screening them at regular

intervals. However, if the project has moved beyond the structure stage, there is every

possibility of less workforce and more skilled labour to be employed.

It should be remembered that the Department of Promotion of Industry and Internal Trade had

earlier suggested to the Ministry of Home Affairs in a letter that “housing and construction

sectors need to be allowed if the labourers stay at the sites with all facilities and safeguards,

contractors shall ensure safety sanitation and distancing norms.”

“It is felt that certain more activities with reasonable safeguards should be allowed once a final

decision regarding extension and nature of lockdown is taken by the Central government,” it

had said.

The Uttar Pradesh government has also decided to resume construction work on government

projects from April 15 provided social distancing norms are followed at the sites.

What does it mean for the real estate sector?

Real estate developers pointed out that some work could actually restart from April 20 keeping

social distancing norms in place as most sites do have material that would last about 10 to 15

days.

“This may be a good move because the workers that are currently on-site and have not returned

to their villages will be occupied, projects that are ready for possession can be handed over and

things can move forward. One will have to ensure sanitation and social distancing measures at

all times,” said Satish Magar, President, CREDAI, National.

Amit Modi, CREDAI, Western UP, president (elect), said that to resume construction work, the

entire supply chain needs to be revived. “You need all processes and the team comprising

workers, engineers, architects in place to restart work. A developer would also have to assess

the condition of the material left on site before he decides to resume work.”

Credai is planning to come out with a social distancing manual in the next eight to 10 days.

How will project rules change?

All real estate companies would have to enforce social distancing norms going forward.

Colliers International India is in the process of putting together a white paper on how real estate

stakeholders should implement social distancing norms on construction sites.

“This will bring about a shift in how we go about doing real estate business in India,” said Basu.

“Screening would have to be increased on construction sites, in buffer zones, in labour camps

and even construction premises. Disinfection would have to be carried out in compliance with

WHO guidelines. Labour welfare strategies would hold the key. The need will be to enforce a

zero-tolerance policy to implement this. We will advocate the need to deploy safety marshalls to

conduct these measures in a disciplined and process-driven manner,” he said.

For very large projects, clients will benefit by deputing ambulances on construction sites; there

would be regular visits by doctors in labour sites. Being prepared is important and measures as

these will ensure that works do not get stopped.

“This is important when you are opening up construction sites in a graded manner,” he said.

Some consultancy firms have also advocated that developers increase focus on mechanization

and rely on pre-engineered products and solutions.

Projects near financial closure, infrastructure projects may see traction

There are two types of projects – government and private where construction activity came to a

grinding halt post the lockdown. Most projects – infrastructure or residential – which already

has financial closure would see traction first. This is important to boost the confidence of

homebuyers and investors.

“Projects that were nearing closure will continue. Both infrastructure and industrial projects will

move ahead – those fundamentals will not change. This abrupt stop will not alter the dynamics

of these projects. That’s what the UP government has done by announcing that construction

work on government projects would continue after May 15,” said a real estate expert.

Samantak Das, Chief Economist and Head of Research in JLL is of the opinion that de-

densification should be the key for all construction sites going forward.

Also, since private investments may take time to resume, the government should focus on

spending on infrastructure activity to generate employment and keep the economy afloat.

“It should pump in money for public projects such as roads, highways, metro and even

affordable housing but implement social distancing norms along the way. That will hold the

key,” he said.

____________________________________________________________________

Covid-19 impact: Real estate sentiment at historic low, says Knight

Frank-Ficci-Naredco survey

Even while the government and Reserve Bank of India (RBI) have provided some

stimulus, further support may be required to help real estate and for the economy to stay

afloat during the crisis.

India’s real estate sector, which has been facing multiple headwinds in the past few years, got

further mauled by the Covid-29 pandemic with industry sentiments hitting a historic low during

the January-March 2020 quarter mirroring domestic and global economic concerns, a survey

report said.

The Knight Frank-Ficci-Naredco real estate sentiment index Q1 2020 survey shows that current

sentiments of real estate stakeholders have nosedived to an all-time low of 31. “The survey

further indicates that future sentiment score outlining the industries’ market expectations has

also dipped well into the pessimistic zone at a score of 36 in Q1 2020 against the score of 59 in

Q4 2019 calendar year (CY),” the report said.

For comparison sake, a score of more than 50 signifies ‘optimism’ in sentiments, while 50

means the sentiment is ‘same’ or ‘neutral’, and a score below 50 signifies ‘pessimism’. The real

estate industry that had just about started showing some signs of revival during the last quarter

of 2019 suffered a severe setback due to the ongoing novel corona virus (Covid-19) epidemic, it

added.

The score had revived in Q4 2019 CY after being in pessimistic zone (below 50 mark) for two

back-to-back quarters, but was short-lived, as the current sentiment score fell to 31 in January-

March 2020. The stakeholder’s mood with regards to overall economy and real estate had been

in pessimistic zone in Q2 and Q3 2019 due to the credit squeeze and economic slowdown. But,

a slew of measures announced by the government to revive realty saw Q4 2019 infusing

confidence in the market.

The creation of a stressed asset fund (AIF) of Rs 25,000 crore to provide last mile funding to

stalled affordable housing projects was a welcome step in this direction. However, the outbreak

Newspaper/Online Financial Express (Online)

Date April 17, 2020

Link https://www.financialexpress.com/industry/covid-29-impact-real-estate-sentiment-

at-historic-low-says-knight-frank-ficci-naredco-survey/1930997/

has marred sentiments again. Knight Frank India chairman & MD Shishir Baijal said the

pandemic has created an unprecedented condition, which is impacting global markets and

societies. There is already a severe shortage of liquidity due to the complete standstill that most

economies have come to.

Even while the government and Reserve Bank of India (RBI) have provided some stimulus,

further support may be required to help real estate and for the economy to stay afloat during the

crisis. Managing liquidity and sustaining through the length of this pandemic will be critical for

economic survival in the post-pandemic era, he added.

“Real estate segment specifically will have a longer journey to make. This crisis has retracted

the end-user confidence to its lowest levels ever, which will push any kind of real estate

purchase decisions to the distant future. The already ailing real estate sector has been crippled

with this pandemic, making it imperative for government support to bring it back on track,”

Baijal pointed out. ____________________________________________________________________________________

Stringent GST rules make path tough for construction sector;

here’s what changed real estate economy

GST has over-emphasized the compliance requirements which are still in evolutionary

stages posing regular threats to the compliance teams of the taxpayer.

Goods and Services Tax was introduced on the midnight of 1st July 2017 with the objective of

“one nation, one market, one tax” fused a large number of Central and State taxes into a single

tax. The single biggest indirect tax regime kicked into force, dismantling all the inter-state

barriers with respect to trade. The GST rollout, with a single stroke, converted India into a

unified market of 1.3 billion citizens. The construction industry is an imperative pillar of the

Indian economy and has seen phenomenal growth, not just in urban cities, but even in rural

towns as well. After the closing of the financial year 2019-20, we shall take a look back and

determine the impact of GST on the entire sector.

GST, as equated to earlier regime hiked the rate of tax for the construction sector from 15

percent (service tax regime) to 18 percent. However, deduction of land value equivalent to one-

third of the total amount charged by the developer for GST calculation has been allowed. This

resulted in an effective GST rate is of 12 percent. For the sake of simplification and

rationalization of tax rates especially for the residential real estate sector, the Government in

April 2019 revised the tax structure under GST to increase the demand and to reduce the burden

of tax on the end customer. GST Council provided this a one-time option to ongoing projects

where construction and bookings started before 1st April 2019. This one-time option will allow

the promoters to continue tax payment at old rates of 8% or 12% with ITC or to opt for new tax

rates of 1%/ 5% without ITC.

This change in tax rates and ITC mechanism pushed the real-estate economy in a mode of

reboot whereby demand and supply functions were in motion to find the new equilibrium

prices. Government-issued multiple clarifications in the month of April 2019 to smoothen out

the interpretational aspects of this new change.

Newspaper/Online Financial Express (Online)

Date April 16, 2020

Link https://www.financialexpress.com/industry/stringent-gst-rules-make-path-tough-

for-construction-sector-heres-what-changed-real-estate-economy/1930329/

Constructed properties

It is a point of notice that GST was neither applicable in the past nor would be applicable in the

future on sale of constructed structures sold after issuance of completion certificate. Thereby

there is no impact on the taxation on the same except physicological factors.

Litigation

GST is in nascent stages and litigation is bound to happen in every nook and corner of the

country due to lack of jurisprudence on the subject, training of tax officers and knowledge of

taxpayers/ tax professionals. The construction industry would also be no different, in fact, due

to the sheer nature of operations, it is expected to see more than its fair share of litigations

arising from distrust in minds of policymakers and tax officers.

In one of such cases 100+ home buyers, in case of Sukhbir Rohilla v. Pyramid Infratech (P.)

Ltd, filed a complaint against the builder before the Haryana State Screening Committee under

anti-profiteering laws of GST. They contended that Input Tax Credit on account of GST paid on

construction services was not passed to the applicants. The case finally reached National anti-

profiteering authority whereby it was held that the builder was guilty of profiteering.

The advance rulings on issues related to construction have witnessed a sudden hike in the GST

regime. One important ruling was given in case of Maruti Ispat & Energy (P.) Ltd., wherein it

was ruled that no GST input tax credit of civil structure would be available even if the same is

used for support of plant and machinery. This led to an immediate increase in the cost of

construction by 18%, as the credit became unavailable. This denial would force recipients to

innovate new methods of procurement where credit would be available or they may fall back to

the unorganised sector for procurements leading to massive tax evasion and the further downfall

of the organized sector.

Many more judgments and ruling have been pronounced in kith and kin of the construction

industry adding to the menace of litigations. With the rapidly changing tax provisions and

issuance of notification on the subject it is expected that in the coming years, the number of

litigations would continuously increase.

Structural changes in taxation

GST has over-emphasized the compliance requirements which are still in evolutionary stages

posing regular threats to the compliance teams of the taxpayer. From April 2019 the

government made numerous changes in the taxation of real estate which includes denial of tax

credits, change the definition of “affordable housing” and the applicability of reverse charge on

purchases from unregistered taxpayers. Such structural changes have a negative impact on the

cash strapped and an over-regulated industry.

Stamp duty

Legislation of stamp duty has similar issues that existed in erstwhile indirect tax regime namely,

the multiplicity of rules/regulations, differential tax rates in different states, manual processes,

cascading effect of payments etc. Ideally speaking, stamp duty legislation should also have been

subsumed under GST, so as to push the use of common digital infrastructure in reporting and

payments. Hope the government would push the agenda of “One nation, one stamp duty” and

we would witness the same.

Indian real estate and construction sectors have witnessed numerous ups and downs with

various reforms being implemented. But today the sector is struggling to survive under a

stringent legal and competitive environment. Further, this sector is also not untouched from the

wrath of Covid-19. The industry is completely shut down till the lockdown is over. Not only

small companies but also massive corporates are facing the heat. The Indian construction

industry is one of the major contributors to the economic and social growth of the nation and

thereby it is the inherent duty of government to support the livelihood of millions by extending

sops by announcing a relief package for the industry during these challenging times. ____________________________________________________________________________________

ICICI, other banks seek rent waivers

ICICI Bank has nearly 5,300 branches and over 15,000 ATMs across the country and a

large number of them are on rented premises.

ICICI Bank and other private lenders are understood to have reached out to their landlords

seeking a waiver of rental for the period of the lockdown.

Sources said that ICICI Bank has asked operating offices to seek a waiver from their landlords

as a measure of support to the bank, given the disruption caused by Covid-19. Other private

lenders are also seeking waivers, sources said.

ICICI Bank has nearly 5,300 branches and over 15,000 ATMs across the country and a large

number of them are on rented premises. Waiver of even a month’s rent would enable the bank

to save several crores. According to the bank’s annual report, it spent nearly Rs 1,200 crore in

rent, electricity and taxes.

The bank did not respond to a query from TOI.

“If the agreement has a force majeure clause which provides for waiver of rent during that

period, then the tenant would have the right to invoke that clause and seek a waiver of the rent

for that period,” said Rohit Shetty, a senior advocate specialising in real estate laws. If there is

no such clause, the parties would have to abide by the terms of the agreement. “If the tenant

wants to renegotiate, they can make a proposal, but it is up to the landlord to accept or not,” said

Shetty.According to Kunal Moktan, co-founder and CEO of Property Share Capital, a lockdown

cannot be constituted as a force majeure, particularly when banks have been functioning and

using premises for their IT systems, which have remained operational.

“While one can understand retail establishments wanting to negotiate since revenues are

directly linked to the store, it is unfair for offices not to pay. Ultimately, landlords also need to

meet their obligations to employees, contractors and vendors,” he added. Property Share has a

Rs 330-crore real estate portfolio, which is tenanted by mostly multinationals, all of who have

met their obligations.

________________________________________________________________

Newspaper/Online ET Realty (Online)

Date April 17, 2020

Link https://realty.economictimes.indiatimes.com/news/commercial/icici-other-banks-

seek-rent-waivers/75192258

Housing sector will have to change post Covid-19: CSE

Liveability and thermal comfort of houses for all income classes have drawn attention

during the lockdown, points out a recent analysis of the housing sector carried out by the

Centre for Science and Environment (CSE).

The current public health emergency has reinforced the fact that housing sector policy and

interventions will have to change in the post-pandemic period for healthy living. Liveability and

thermal comfort of houses for all income classes have drawn attention during the lockdown,

points out a recent analysis of the housing sector carried out by the Centre for Science and

Environment (CSE).

A study titled ‘Beyond the four walls of PMAY: Resource efficiency, thermal comfort and

liveability in the affordable housing sector’, was released on Thursday by CSE’s executive

director (research and advocacy) Anumita Roychowdhury and programme director (sustainable

buildings and habitat programme) Rajneesh Sareen.

The study says that while trapped stale air in ill-designed thermally uncomfortable air-

conditioned houses can foster infectious diseases, overcrowding in lower income households

with no ventilation creates more risks for the urban poor. The current public health emergency

has reinforced the fact that housing sector policy and interventions will have to change in post-

pandemic period.

The ongoing implementation of affordable housing programmes Pradhan Mantri Awas Yojana

for urban areas (PMAY-U) and reviews of the design and performance of affordable housing

units at the state level have been captured in this study.

While the latest estimates of Union urban housing ministry puts the national housing demand at

11.2 million, unofficial estimates report a higher housing demand. In current times of social

distancing, crowded dwellings can be a bigger threat to health.

The technical group on urban housing shortage has estimated that around 80% of the nation’s

housing demand comes from congestion or overcrowding in houses. A house is defined

overcrowded in India when a married couple does not have a separate room. To this is added

homelessness, building rejection, and non-serviceability of buildings.

CSE study recommended to introduce more comprehensive guidelines and mandates on

material and architectural design to improve thermal comfort of buildings and reduce air-

Newspaper/Online ET Realty (Online)

Date April 17, 2020

Link https://realty.economictimes.indiatimes.com/news/industry/housing-sector-will-

have-to-change-post-covid-19-cse/75192278

conditioned hours for energy savings and healthy living.

________________________________________________________________

Credai Tamil Nadu urges government to allow transportation of

construction materials

A Credai delegation met deputy chief minister O Panneerselvam, who holds housing and

urban development department portfolio, on Wednesday seeking to commence

construction work.

On the day when the Union home ministry allowed resumption of building construction

projects, the Tamil Nadu chapter of the Confederation of Real Estate Developers’ Association

of India (Credai) sought the state government to ease transportation of construction materials.

A Credai delegation met deputy chief minister O Panneerselvam, who holds housing and urban

development department portfolio, on Wednesday seeking to commence construction work.

Stressing that social distancing would be maintained along with other norms for workers, the

developer's body demanded permit for movement of steel and cement to the construction sites.

Earlier in the day, the Union home affairs released the consolidated revised guidelines for the

lockdown, which allowed continuation of work in construction projects within the limits of

municipal corporations and municipalities, where workers are available on site and no labourers

are required to be brought in from outside.

_______________________________________________________________________

Newspaper/Online ET Realty (Online)

Date April 16, 2020

Link https://realty.economictimes.indiatimes.com/news/industry/credai-tamil-nadu-

urges-government-to-allow-transportation-of-construction-materials/75172868

More time to property tax in Chandigarh

Municipal commissioner K K Yadav issued orders in this regard on Tuesday, after

assessing the situation with the tax branch of the civic body.

Giving relief to thousands of residential and commercial property owners, who are yet to pay

the property tax for the last financial year, the Chandigarh municipal corporation has extended

the date for the same for an indefinite period. The move comes in the wake of extension of

lockdown until May 3. Earlier, April 14 was the last day for payment of proper tax.

Municipal commissioner K K Yadav issued orders in this regard on Tuesday, after assessing the

situation with the tax branch of the civic body. As per the corporation records, there are over

5,000 owners of residential and commercial properties, who are yet to pay the tax for the last

financial year, ended March 31.

“Due to the closure of the e-Sampark centres in view of outbreak of Covid-19 and indefinite

curfew…the due date for payment of property tax bills of the assesses whose due date falls

between 23rd March and 31st March is hereby extended till further orders, so as to avoid any

inconvenience to the general public,” reads the order.

A civic body official said, “Since we had issued over 500 notices of attachment to those, who

did not pay the tax money even after service of notice to seal their properties, such people have

also been given more time. As the Prime Minister has announced lockdown till May 3.

________________________________________________________________

Newspaper/Online ET Realty (Online)

Date April 16, 2020

Link https://realty.economictimes.indiatimes.com/news/regulatory/more-time-to-

property-tax-in-chandigarh/75184567

Mangaluru civic body to roll out online payment of property tax

soon

The breather that urban development department has given to tax payers to pay their

property tax in May while allowing them to avail the 5% rebate, normally given for tax

payments done in April, too is expected to give MCC time to push this project to its logical

end.

Nationwide lock down has come in handy for Mangaluru City Corporation (MCC) to move

forward its project of computerisation of property tax records.

The breather that urban development department has given to tax payers to pay their property

tax in May while allowing them to avail the 5% rebate, normally given for tax payments done in

April, too is expected to give MCC time to push this project to its logical end.

Admitting that lockdown has given the revenue department to focus on this project even with

limited staff at his disposal, Santosh Kumar, deputy commissioner (administration), MCC, also

holding charge as DC (revenue) told TOI that the civic body is gearing up for both manual and

online modes of tax collection. “The focus with pandemic going on is to go digital with our tax

collection and MCC is striving to get the same completed at the earliest,” he said.

Data entry work on past property tax paid is presently on. “We are using tax receipts to compile

the same,” Santosh said. “We have already pitched the digital payment idea with taxation,

finance and appeals standing committee and the Mayor,” he said, adding the move will require

post-facto approval of the council in its maiden meeting. The proposed digital move will also

come with an online tax calculator that will help in ease of payments, he said.

At the same time, the civic body has also drawn up plans to conduct a property tax returns mela

at the Town Hall by following social distancing norms where people may pay their taxes either

manually or online, as per their preference. In one such similar drive conducted at the venue,

MCC collected Rs 10 lakh by way of trade license, Santosh said, adding the idea for a similar

approach to mopping up revenue by way of property tax is in the works.

Asserting that a final picture will emerge once the lockdown ends on May 3, Santosh said MCC

collected 40% of its property tax during 2019-20. Incidentally, MCC has been toying with idea

of introducing online payment of taxes from time that Sameer Shukla became the first IAS

officer to take charge as MCC commissioner. The civic body has made computerisation of its

office operations a flagship programme under different mayors since then.

________________________________________________________________

Newspaper/Online ET Realty (Online)

Date April 16, 2020

Link https://realty.economictimes.indiatimes.com/news/technology/mangaluru-civic-

body-to-roll-out-online-payment-of-property-tax-soon/75185212

Jaipur development body to develop quarantine centres in 5,800

RHB flats

The civic body will develop 1,400 rooms in Dastakar Yojana in 700 houses. Similarly,

4,400 rooms in 1,500 flats will be developed in Mahala on Ajmer Road.

The Jaipur Development Authority (JDA) has started an exercise to develop quarantine centres

in the district on a massive scale. Nearly 5,800 flats of Rajasthan Housing Board (RHB) have

been identified for the purpose on Wednesday.

RHB commissioner Pawan Arora said, “The board will develop 5,800-room capacity quarantine

centres to shelter the suspects. These quarantine centres will be developed in Dastakar Yojana at

Naila, Agra Road and the multi-storied flats built in the village Mahala on Ajmer Road,” he

said.

The civic body will develop 1,400 rooms in Dastakar Yojana in 700 houses. Similarly, 4,400

rooms in 1,500 flats will be developed in Mahala on Ajmer Road. Unlike the district

administration, the JDA has adopted a different strategy to zero in on quarantine centres for the

residents. The JDA is looking for buildings that have rooms to accommodate more than 300

people. The civic body is ensuring that these buildings are 20-25 km away from the city. Also,

people who are sent to quarantine do not stay in one big hall.

Sources said the buildings identified by the district administration were inside the city in

densely populated areas. Locals objected to these quarantine centres in the middle of dense

populations. Also, no building had the facility to accommodate more than 50 people. “First

priority is that building should be away from the densely populated areas,” said a source. With

the number of confirmed coronavirus cases is expected to increase, the JDA identified also 20

more private buildings in Jaipur. However, officials, refrained themselves from disclosing the

locations and names as owners approach government not to acquire their building for centres.

“Out of identified buildings, most are schools and colleges. After JDA identify the buildings,

the acquisition letter is issued by district collector. Many apply push and pull to escape from

acquisition,” said a source.

________________________________________________________________

Newspaper/Online ET Realty (Online)

Date April 16, 2020

Link https://realty.economictimes.indiatimes.com/news/industry/jaipur-development-

body-to-develop-quarantine-centres-in-5800-rhb-flats/75172892