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Tax on mobile towers

Nov. 27: The Guwahati Municipal Corporation has decided to bring mobile phone towers and electrical poles under the property tax net.

A GMC official said the corporation had started a survey on the number of mobile towers and electrical poles installed in the city. After completing the survey, the civic body will hold meetings with the Assam State Electricity Board and the mobile service providers to finalise the rate of property tax.

“In Delhi, Mumbai and Bangalore, municipal bodies collect tax for installation of mobile towers and electrical poles. With Guwahati growing rapidly, there has been a sharp rise in the number of mobile towers and electrical poles and the GMC is expected to garner a good revenue by slapping a tax on this infrastructure,” he added.

Mobile service providers install most of their towers atop residential buildings by paying a monthly rental to the house-owners. Since many residents earn a handsome amount by letting out the roofs of their buildings, the GMC would consider charging additional property tax from them, the official said.

There are four mobile phone operators in the city — BSNL, Reliance, Airtel and Aircel — who use GSM technology.

The official said the decision to bring mobile towers and electrical poles under tax net was part of the GMC’s plan to increase its annual tax collection to Rs 100 crore.

The GMC has also asked Oil India Limited to pay Rs 3.5 crore as property tax arrears. The oil major, which has had pipelines in the city for almost half a century, has never paid property tax, he added.

“The GMC’s expenditure is Rs 3.50 crore per month, which is much higher than the revenue it earns. So we have to find out new sources to collect tax,” the official said.

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