Planning to boost its spending on public infrastructure and other services by more than 10 percent from the next financial year, the Municipal Corporation of Greater Mumbai (MCGM) is looking for innovative ways to boost its revenue collection that may include tax on garbage collection and additional levies on services such as issuing birth certificates, etc.
MCGM is India’s richest civic body with a budget in excess of Rs 33,400 crore for FY21. However, it has been grappling with certain issues that have led to falling revenue collection.
The measures planned by the corporation to boost revenue collection include recovery of outstanding dues of property tax and water tax from defaulters by disconnecting their water supply and attaching and auctioning their properties, among others.
The Mumbai civic body is bracing for a drop of 11% in the revenue earned from its investments owing to a decrease in bank interest rates in the next financial year. The tax collection on the sale of properties in India’s financial capital has also fallen short by 12% this year, which has added to the corporation’s financial burden.