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Revised holding tax collection stayed by Bihar government
October, 10th 2013

In a major decision, the state government on Wednesday decided to postpone collection of holding tax as per revised new rates with immediate effect. The department of urban development had earlier given direction to all local bodies to finalize new holding tax rates as per the Bihar Municipality Act, 2007.

The urban development department has now given directives to all concerned to collect taxes at the old rate, according to a press release issued here by the information and public relation department. It said that necessary directives have been issued to all urban bodies not to collect holding taxes as per the new rates.

On the basis of urban development department's directives, 49 urban bodies had already started collecting taxes as per the new rates. After verification, some anomalies was found in it, which necessitated action.

The department is in the process of setting up a property tax board in the state. Now all the proposals related to taxes would be sent to the property tax board, the release said.

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