Most PGs out of tax net HubballiDharwad Municipal Corporation loses revenue

  • | Friday | 29th March, 2019

However, the fact is that out of 100 odd PGs , only a few PG owners have obtained a proper license from the civic body to run their business. He added that HDMC would take strict action against PGs which have not taken permission. A person who runs a PG for five girls in his two-storey house in Vidyanagar said, “We provide accommodation to girls at nominal rates. Police should have details of all PGs in the city as many such facilities are exclusively meant for women and girls and their security is also important,” he said.Some PG owners accept that they had not registered with the civic body as they must pay commercial tax. HUBBALLI: The fund starved Hubballi-Dharwad Municipal Corporation HDMC ) which relies heavily on external funds of the state government to run its day to day activities has been missing a huge chunk of revenue by not bringing paying guest accommodations under its tax net.Hubballi-Dharwad has several good educational institutions which attract thousands of students.

HUBBALLI: The fund starved Hubballi-Dharwad Municipal Corporation HDMC ) which relies heavily on external funds of the state government to run its day to day activities has been missing a huge chunk of revenue by not bringing paying guest accommodations under its tax net.Hubballi-Dharwad has several good educational institutions which attract thousands of students. Most of the students prefer staying at PG accommodation as they will be assured of a comfortable stay along with quality food.As more educational institutions are being set up in the twin cities, several PG accommodations are also mushrooming here. However, the fact is that out of 100 odd PGs , only a few PG owners have obtained a proper license from the civic body to run their business. As per rules, house owners have to pay tax at commercial rates if they convert their properties into PG accomodations.Surprisingly HDMC has never cracked down on PGs that have not obtained license and not paying commercial property tax HDMC health officer Dr Prabhu Biradar told TOI that only 15 PGs in Dharwad and five to six in Hubballi have obtained permission from the corporation. He added that HDMC would take strict action against PGs which have not taken permission. The issue would be discussed in the next HDMC general body meeting, he said.Biradar admitted that HDMC had failed to crack down on errant PGs and cited lack of health inspectors as the reason.Sameer Bagalkot, a resident of Old Hubballi said the safety and security of those who occupy PGs was the most important thing. “We wake up only when an untoward incident happens. Police should have details of all PGs in the city as many such facilities are exclusively meant for women and girls and their security is also important,” he said.Some PG owners accept that they had not registered with the civic body as they must pay commercial tax. A person who runs a PG for five girls in his two-storey house in Vidyanagar said, “We provide accommodation to girls at nominal rates. If I have to pay commercial tax then, it will be difficult us to provide affordable accommodation,” he added.Most students and working women also say they prefer PGs over hostels as they are affordable and have good facilities.Savitha Hulkoti, a working woman, said she has been living in a PG in the city for past three years added that she never had any untoward incidents as her PG has CCTV cameras and adequate security measures.

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