RS can only look back three years at your past returns and under-report income by 25 percent, that extends to six years.
Better convert the resident status to commercial from this year, start paying on that rate from now onwards.
Municipal council tax
One of my clients having property in haryana paying municipal council property tax..for past 20 years .. he recently came to know that he is paying property tax as per residential house rate.. but his property is comercial.. by mistake the council is sending bill as per residential property rate while the property is commercial Now my question is he has toh pay penalty and interst for The difference.. the municipal council we demand for how many last years tax? 20 or somewhat less for thier action?
Asked 6 years ago in Property Law
Religion: Hindu
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12 Answers
approach muncipal council to change assessment of property from residential to commercial as property is being used for commercial purposes
2) amount of penalty and interest would be determined by muncipal council as per law prevalent in your state
1. There would be no liability of Penalty /Interest on such error, more so since payment is being made as per directions in the Council Bills.
2. File Application for rectification and get it corrected and undertake to pay the difference. If any technical issues, THEN appeal to the assessment officer /commissioner.
3. Also confirm that under limitation act, there would be a bar for the council to recover back dated dues of more than one year.
No this is not fault because initially the property must have registered as residential and may using as commercial. So from now onwards apply for commercial property from this financial year and update in the municipal records. And don't insist for commercial property in previous.
Whatever it may be, the mistake is on the part of the Municipality for not collecting the correct taxes which is applicable for his property, however they may restrict the claim for the last three years preceding the date of notice, because the claim may be barred by limitation beyond that period.
No he has to just pay the principal. Corporation cant claim penalty ans interest and take advantage of their own wrong
But they r charging me of hiding the proper facts about the property and levying penalty.., And plz tell me the limitation period of the harayana municipal council act beyond that period they can’t collect tax?
Asked 6 years ago
You can file writ in HC against imposition of penalty that you ha e not suppressed any material facts that muncipal council has assessed property after inspection
12 years.
Contact the local property tax authorities in your local body/municipal office and request them to convert it to residential to commercial. They will do it by revising the property tax.
The limitation period for collection of arrears shall be three years.
Any claim beyond three years preceding the date of claim shall not be maintainable and barred by limitation.
Municipal corporation can claim the arrears of last 12 years for collection of tax and not more than that.
You can challenge the same in writ petition before high court