A Guide on Property Tax in India
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The Jharkhand local body earned Rs. 105.6 crores as the property tax collection for FY18. The top officials of the state said that the new reforms and innovative ideas along with the introduction of PPP [Private Public Partnership] model helped the authority to garner such amount as the tax collectible.

In the Public Private Partnership (PPP) model the property tax is collected by hiring professional collection agency and by encouraging residents to make timely payment of property tax via online transaction to revenue.

Arun Singh, Additional Chief Secretary, Water Resources Department, Jharkhand said, boosted by steps to enhance property tax collection, its share in own (holding tax and other collections) revenue has increased from 19 percent to 51 percent in the last five years. The tax collection reached Rs 105.6 crore for 41 urban local bodies in 2017-18 from a mere Rs 10.35 crore in 2013-14.

Earlier, he held the office of affairs of the commercial tax department in the state, and gave a presentation to NITI Aayog in which he said that the state’s per capita property tax revenue has increased from Rs 99.25 per household to Rs 1,006 per household while introduction of PPP mode has resulted in decrease in arrears by 20 percent.

Singh also said that the system is revamped and the legal framework for the same has also been completed. He was also quoted saying, “Now there are recovery rules to deal with defaulters with the right for attachment of property and freezing of bank accounts. To promote digital payments, rebate is given for online payment,” to the NITI Aayog.

The official also informed that the state has adopted IT-based property tax management system and ensured real-time availability of information. And as a result of the measures to revamp the system, the number of assessed property in the state increased from 4.37 lakh in 2016-17 to 6.40 lakh till October 2018. In addition to this the increase is assessed at 44.3 percent.

Singh also said that the State Government is going to initiate a number of steps like plans to introduce GIS mapping and integration with RFID tag.

The State Government of Jharkhand is also planning to introduce Nagar Prahari scheme to curb under-assessment and unassessed households.