Patna: Bihar government on Tuesday approved a proposal to clear decks for the urban local bodies to collect taxes within its jurisdiction on its own to raise revenue.

The decision in this regard was taken at a cabinet meeting presided over by Chief Minister Nitish Kumar, Principal Secretary (Cabinet Coordination and Secretariat) Vijay Prakash told reporters.

He said the government has approved the taxes and non-taxes revenue collection rules under relevant sections of the Bihar Municipalities Act, 2007 allowing the urban local bodies to issue letters for collection of tax and non-tax revenue and levy penalty to defaulters.

Earlier, urban local bodies received revenues from tax and non-tax sources collected from its jurisdiction only on the basis of tax collection certificates issued by district magistrates, Prakash said. He said that the new rules will benefit the municipal corporations, municipalities, nagar parishad and nagar panchayat which can fix interest, confiscate properties and withdraw facilities from defaulters.

There are 38 nagar parishads, 11 municipal corporations and over 80 municipalities in Bihar. In all, the state government gave its nod to 43 agenda comprising additional grant to various institutions, Forestry Corporation and state women resource centres.


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