Collect highest property tax, get 50% back: GHMC balderdash

http://www.deccanchronicle.com/hyderabad/collect-highest-property-tax-get-50-back-ghmc-337

Collect highest property tax, get 50% back: GHMC

Hyderabad, Feb. 8: The Greater Hyderabad Municipal Corporation is planning to reward resident welfare associations that help collect the maximum property tax by giving them half the money for development of their colonies.By making residents’ welfare associations vie with each other to collect cent per cent property tax, the GHMC hopes to mop up more revenue.

Associations that win the coveted prize money will also be given the right to recommend the infrastructure development they need in their colonies. Associations that win the first, second and third place would be given a cash reward of `1 lakh, `50,000 and `25,000 respectively. Further, additional `50 lakh worth works would be sanctioned to the colony.

There are five zones in Greater Hyderabad, and top three colonies from each zone would be selected as model colonies.However, collection of property tax will not be the lone criterion for selection of model colony. Office bearers of the associations will be also be asked to monitor and supervise the sanitation works being taken up by the corporation in the colonies such as cleaning roads, maintenance of street lights and parks, anti-larval operations, and removal of garbage.

The GHMC additional commissioner (health and sanitation), Mr S.K. Aleem Basha, said the standing committee led by the mayor, Ms Kartika Reddy, had approved the scheme in principle. “Soon, the modalities of the scheme will be finalised including constitution of a committee comprising members from residents associations, ward committees besides GHMC officials of GHMC,” he said.

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First and Foremost : GHMC should implement ACCRUAL METHOD of accounting and conduct internal and external audits every quarter to see that funds are properly collected and not swindled away into the coffers of some of their staff as we see reports every day in papers that ACB unearths lakhs and crores from their staff on regular basis.GHMC should be made accountable at all levels by implementing REAL TIME NETWORKING IN 18 CIRCLES and implement ACCRUAL method and its advantages are 

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India to change government accounting format

India to change government accounting format

The accrual based format will help the government record transactions as they occur, irrespective of when the cash is received or remitted

Published on 05/06/2009 - 16:54:23 PM New Delhi: India would soon change its cash based accounting format to adopt the one based on accrual, enabling the government and its agencies to record transactions as they occur, irrespective of when the cash is received or remitted.

Announcing this, the Comptroller and Auditor General of India (CAG) on Wednesday said that the format for recording government finances would be changed over the next five years, reports IANS.

"The accrual based financial statements are expected to provide more appropriate presentation of financial performance and position of the government," India's official auditor said in a statement.

"The centre and states will have a common format of financial statements that would include a balance sheet, a statement of financial performance and a cash flow statement," the CAG said, spelling out the rationale behind the move.

The World Bank is already funding some pilot projects in this regard, being conducted by the central government's postal department, apart from selected offices in Andhra Pradesh, Madhya Pradesh, Haryana and West Bengal.

"These pilot studies would be precursor to a national rollout aimed within a five-year time frame," CAG said.

The Institute of Chartered Accountants of India (ICAI) also feels that the use of accrual basis for government accounting was more appropriate and welcomed the move to shift away from cash basis.

"This is a very welcome step. It will certainly help in real assessment of the records. It will also lead to more accountability and transparency in financial reporting," ICAI President Uttam Prakash Agarwal said.

Among the various benefits of accrual accounting is all incomes earned during a particular period are also matched with the expenses incurred for earning those incomes, he added.

The accrual method also provides a better measurement of net income because it matches the expenses incurred with income earned for a given period, apart from reflecting the income in the period to which they belong, Agarwal said.
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