Row over land tax escalates
With no fresh approvals since June this year, the pending applications have been mounting
By : DC Correspondent
Update: 2015-07-16 03:20 GMT
Hyderabad: All layout approvals have been stopped in HMDA limits due to a tussle between realtors and HMDA officials over Non-Agricultural Land Assessment charges.
HMDA has been insisting on payment of NALA charges for land conversion from agriculture to residential to approve layouts, while realtors say that this amounts to “dual taxation” since they are already paying “change of land use” charges as per the HMDA master plan.
They have pointed out that Chief Minister K. Chandrasekhar Rao had promised to abolish NALA charges last year but officials had stopped giving layout approvals in contrast to the CM’s assurance.
With no fresh approvals since June this year, the pending applications have been mounting. HMDA officials claim that though the power of giving approvals lies with them, they have nothing to do with NALA charges since it's the revenue department which collects it.
Last year, the High Court had given interim directions asking officials to give layout approvals by taking affidavits from builders stating that it would be subject to a final judgment on NALA charges.
The metropolitan development authority had adopted this policy till recently but builders say the officials have again started to insist on payment of conversion charges.