THE CITY CORPORATIONS (TAXATION) RULES, 1986

[Dhaka, the 24th February 1986] [No. S.R.O. 69-L/86/S-XI/IR-5/86/23. In exercise of the powers conferred by section 155 of the Chittagong City Corporation Ordinance, 1982 (XXXV of 1982), section 157 of the Dhaka City Corporation Ordinance, 1983 (XL of 1983), 1[section 154 of the Khulana City Corporation Ordinance, 1984 (LXXII of 1984) andthe Government is pleased to make the following rules, namely :-] CHAPTER I PRELIMINARY 1. Short title and application. - (1) These rules may be called the City Corporations (Taxation) Rules, 1986. 2. These rules shall apply to the Chittagong City Corporation, Dhaka City Corporation 2[, Khulna City Corporation and 2. Definitions. - In these rules, unless there is anything repugnant in the subject or context, (a) "City Corporation" means the Chittagong City Corporation, the Dhaka City Corporation, the Dhak City Corporation 3[, the Khulna City Corporation or , as the case may be ; (b) "Ordinance" means the Chittagong City Corporation Ordinance, 1982 (XXXV of 1982), the Dhaka City Corporation Ordinance, 1983 (XL of 1983) 4[the Khulan City Corporation Ordinance, 1984 (LXXII of 1984) or as the case may be. CHAPTER II GENERAL PROVISIONS TO CITY TAXES, RATES, ETC. 3. Ceiling of taxes, rates, etc. - No tax, rate, cess, toll or fee leviable under the Ordinance shall exceed the limit laid down in the model tax schedules applicable to the City Corporation. 4. Manner of levying taxes, etc. - (1) Proposals for levy of any tax, rate, cess, toll or fee under the Ordinance shall be considered and decided in a special meeting of the City Corporation. (2) The City Corporation shall publish the proposal by affixing a copy thereof on the notice board in its office and also on some conspicuous places in each ward and also in such other manner as it deems fit. (3) The persons affected by the proposed levy may, within thirty days from the date of publication of the proposal, make suggestions or lodge objections which may be taken into consideration by the City Corporation. (4) The City Corporation may, after consideration of the suggestions or objections, if any, either proceed with the proposal with or without modification, or abandon the proposal. (5) If the City Corporation decides to proceed with the proposal, it shall submit the proposal for levy of tax, rate, cess, toll or fee to the Government for sanction. (6) While submitting the proposal, the City Corporation shall furnish the following particulars, namely :(i) the name of the tax, rate, cess, toll or fee ; (ii) the rate or rates at which it is proposed to be levied ; (iii) the annual estimated receipt ; (iv) the persons, properties or goods which will be subject to the tax, rate, cess, tol or fee ; (v) proposed arrangement for assessment and collection of the tax, rate, cess, toll or fee and the additional expenditure to be incurred on collection ; (vi) the existing taxes, rates, cesses, tolls, fees and annual yield thereof separately ;

(vii) the income and expenditure of the City Corporation during the last three years, where available ; (viii) the object of levying the tax, rate, cess, toll or fee, that is, whether to meet deficit in the current budget or for undertaking any new development scheme ; and (ix) the proposed date of enforcement. 5. Sanction of proposal. - The Government may, after consideration of the proposals, either sanction the proposal with or without modification, or reject it. 6. Notification of levy. - After the Government has sanctioned the levy of tax, rate, cess, toll or fee, the City Corporation shall notify it in the official Gazette and also arrange for its publication by affixing a copy thereof on the notice board of the City Corporation and in such other manner as it deems fit and the date from which the levy of tax, rate, cess, toll or fee shall take effect shall also be specified in the notification. 7. Petition against valuation, assessment, etc. - (1) Any person who has been assessed to a tax, rate, cess, toll or fee under the Ordinance may object to the valuation or assessment therefor, or his liability to be so taxed, by a petition 6[in Form P] presented to the City Corporation within thirty days from the date of receipt of notice of such assessment. (2) The petition shall state clearly the grounds of objections to the valuation or assessment or to the liability of the petitioner. (3) the City Corporation may constitute as may Assessment Review Boards as it deems fit. (4) Each Assessment Review Board shall consist of one advocate and one civil engineer who are not employees of the City Corporation and one Commissioner of salaried employee of the City Corporation : Provided that no Commissioner who is a member of the Board shall hear a petition if such petition relates to a property situated in the ward from which he has been elected. (5) The petition presented to the City Corporation under sub-rule (1) shall be heard and determined by an Assessment Review Board. (6) An Assessment Review Board shall give notice to the applicant of the time and place at which his application shall be heard, and after taking such evidence and making such inquiry or local inspection as it may deem necessary in the presence of the applicant or his agent, if any, pass such order as it thinks fit and proper, and if the applicant or his agent does not appear on the date so fixed, the Board shall pass the order ex-part. (7) The hearing of the petition shall be conducted in a summary manner which shall be completed within a period of four months from the date of first hearing. (8) The decision of the majority of the members present shall be the decision of the Assessment Review Board concerned and shall be final and the decision of the Board shall be communicated to the applicant by the City Corporation. (9) In case of equality of votes, the person presiding shall have a second or casting vote. (10) The Assessment Review Board shall sit at least five days in a week during office hours for hearing the petition. (11) Each member of an Assessment Review Board shall receive such amount of remuneration for each working day as may be fixed by the City Corporation with the approval of the Government. (12) The office of an Assessment Review Board shall be situated in the City Corporation Office. (13) Any person aggrieved by an order made under sub-rule (8) may, within sixty days from the date of receipt of the order, prefer an appeal to the Divisional Commissioner within whose jurisdiction the City Corporation is situated by depositing 75 percent of the amount decided by the assessment review board within the City Corporation provided that the divisional commissioner shall dispose of appeal and give his decision within 120 working days from the date of filing of such appeal before him; and the decision of the Divisional Commissioner, on such appeal, shall be final. 8. Arrangement for collection of tax, etc. - (1) A City Corporation may make arrangement for collection of taxes, rates, cesses, tolls or fees levied by it under the Ordinance and any rules or by-laws made thereunder. (2) The time and place of receiving payment of taxes, rates, cesses, tolls or fees shall be notified to the public along with the list of persons authorized to receive money on behalf of

the City Corporation. (3) Any person assessed to any tax, rate, cess, toll or fee may, instead of making payment to the office of the City Corporation, pay the tax, rate, cess, toll or fee on demand to any person authorized to collect the same outside the office premises or in any scheduled bank specified by the City Corporation in this behalf. (4) The City Corporation, or the person or bank authorized to collect the tax, rate, cess, toll or fee shall grant receipts for sums received by it or him and the receipt shall state the amount paid and the account thereof. 9. Tax, etc., when due. - Except as otherwise provided in these rules, a tax, rate, cess, toll or fee payable under the Ordinance or any rule or by-law made thereunder shall be payable by the assessee by such date as may be specified by the City Corporation in this behalf : Provided that the City Corporation shall issue a bill of demand for every such sum stating therein the date by which the same shall be paid : Provided further that (i) if the payment of any tax or rate in respect of any building and land is made for any quarter of the current financial year within the time specified in the bill of demand, a rebate may be allowed at 5 per cent on the current demand ; (ii) if the payment of any tax or rate in respect of any building and land is made for the first quarter of the current financial year within the time specified in the bill of demand together with payment of such tax or rate in advance for the remaining three quarters or more as provided in rule 6[34(3)], a rebate at 10 percent on the total demand may be allowed ; and (iii) if the payment of any tax or rate in respect of any building and land is made for any quarter of the current financial year within the time specified in the bill of demand together with payment of such tax or rate in advance for less than three quarters of the current financial year, a rebate at 71/2 percent, on the demand for the current quarter as well as on the amount of such tax or rate paid in advance may be allowed : Provided further that if the payment of any tax or rate in respect of any building and land is not made within the financial year for which it is due or within the time specified in the bill of demand, the City Corporation may impose a surcharge at the rate of 15 percent of the demand defaulted during the previous financial year, but in exceptional cases, the City Corporation may exempt any tax payer partly or wholly from the payment of surcharge. 10. Postponement of realization of any tax, etc. - Notwithstanding anything contained in rule 9, the City Corporation may postpone realization of any tax, rate, cess, toll or fee or any other sum due to it on account of hardship for a period not exceeding six months and in the case the building remains vacant for more than sixty days. In the latter case, the assessee shall be entitled to a remission to the extent of one-half of the amount due on account of such period : Provided that (a) the person liable to pay the tax or rate or his agent has given notice in writing about the vacancy to the City Corporation, and (b) the amount of tax or rate to be remitted in respect of such vacancy shall not be calculated from any date prior to the date of delivery of such notice. 11. Recovery of arrear taxes, etc. - (1) Subject to the provisions of rule 10, if any person fails to pay any tax, rate, cess, toll or fee, or any installment thereof or any other dues within the specified time, the City Corporation shall cause a list of such arrears to be prepared and shall display it on the notice board of the City Corporation and simultaneously a notice shall be served on the defaulters individually. (2) On the expiry of thirty days from the date on which the arrear list is so displayed and notice served, the City Corporation may proceed to recover the arrears as a public demand, and where the City Corporation has been empowered to recover arrear of taxes, rates, cesses, tolls, fees and other moneys claimable by the Corporation by distress and sale of movable property belonging to the person concerned, it may proceed to recover the amount due by distress and sale of movable property belonging to the person concerned. 12. Power to recover dues by distress and sale by whom to be exercised. - (1) The power to recover arrears of taxes, rates, tolls, fees and other moneys by distress and sale of movable property shall be exercised by the Mayor of the City Corporation. (2) The Mayor of the City Corporation shall issue the warrant of distress and sale of

movable property. (3) Any employee of the City Corporation duly authorized by the Mayor in this behalf shall execute the warrant. (4) In case there is any apprehension of breach of peace in the execution of distress warrant, the Mayor, when required, may seek for police assistance and any extra cost involved in securing the assistance of police shall also be recoverable from the defaulter. 13. Distress and sale how to be made. - (1) The employee authorized under rule 12(3) may orally require the defaulter to pay up the arrear then and there, and on the refusal of the defaulter, such person may proceed to attach the defaulter's movable property and shall grant a receipt thereof to the defaulter. Provided that no property exempted under the proviso to section 60 of the Civil Procedure Code, 1908 (V of 1908), from attachment or sale shall be so attached. (2) The amount of the arrear dues, with costs, incurred in conducting the distress and sale shall be recovered by sale of the attached property in the manner laid down hereinafter. (3) The attachment shall be made by actual seizure of the movable property, between the hours of sun-rise and sun-set, and in the presence of two witnesses and an inventory of the seized property will be drawn up which will be attested by the witnesses and a copy of the inventory shall be given to the defaulter ; and the employee charged with the execution of the distress shall be responsible for the safe custody of all the property distrained, until it is sold, or released to the defaulter on payment of the arrears and cost before the sale. (4) If the value of the attached property is estimated to be less than taka one hundred or the property is of a perishable nature, the authorized employee may proceed to sell it on the spot by public auction. (5) When the value of the (non-perishable) property distrained is estimated to be more than taka one hundred, the employee effecting the distraint may entrust it to any reliable person of the locality on his executing a bond (zimmanama) to produce the same on a date and time and at the place fixed for sale ; and if no zimmadar is forthcoming, the property shall be deposited at the office of the City Corporation. (6) The employee conducting the distraint shall fix a date and time not later than ten days from the date of seizure of the property and shall orally intimate the same to the defaulter and the zimmadar, if any, shall announce the fact in the locality by beat of drum. (7) On the date, time and place fixed, the employee effecting the distraint or any other employee of the City Corporation authorized in this behalf by the Mayor shall put the property to public auction and the auction shall take place in the presence of at least one Commissioner of the City Corporation : Provided that no Mayor, Deputy Mayor, Commissioner, Chief Executive Officer or any other officer or employee of the City Corporation shall be entitled to bid for the property in his own name or in any other person's name. (8) The sale-proceeds shall be applied for recovery of the arrears and the cost incurred in conducting the distress and sale and the excess amount, if any, shall be given to the defaulter if he is present, and if he is not present, such amount shall be credited to the Corporation Fund from where it can be claimed by the defaulter within one year from the date of the sale, after which it would be forfeited to the City Corporation. (9) If the defaulter pays up before the auction the arrears together with the cost incurred on distraint, the distrained property shall be released to the defaulter. 14. Authorized person may break open door. - The employee authorized to execute the distraint may, between sun-rise and sun-set, break open any outer or inner door or window of a house, if he has reasonable ground for believing that such house contains any movable property belonging to the defaulter, and if, after intimation of his authority and purpose and demand of admittance duly made, he cannot otherwise obtain admittance : Provided that he shall not enter or break open the door of any room appropriated to women, except after reasonable notice and opportunity given to enable the women to remove to some part of the house where their privacy may be preserved. 15. Sale of property beyond limit of City Corporation. - If the City Corporation is unable to recover any arrear with coast under the rule 13 by distraint and sale of property of a defaulter within the City Corporation and if the defaulter has any movable property outside the limits of the City Corporation, the Duputy Commissioner within whose jurisdiction such property is located may, on the application of the Mayor, issue a warrant to

the Mayor or Chairman of the Municipal Corporation or Paurashava or local authority within whose jurisdiction such property is located for the distress and sale of any movable property or effects belonging to the defaulter and the amount, if realized, shall be remitted to the Mayor of the City Corporation at whose instance the proceedings were instituted. 16. Account of distress and sale. - The City Corporation shall keep and maintain an account of all distresses issued and sales made for the recovery of arrear of taxes, rates, cesses, tolls, fees and other moneys claimable by the City Corporation. 17. Irrecoverable dues. - The City Corporation may, by order, struck off the books the amount of any tax, rate, cess, toll or fee or any other moneys due to the City Corporation which has become irrecoverable. 18. Reduction or remission. - (1) Whenever from the circumstances of any case it appears that the levy of any tax, rate, cess, toll or fee would produce excessive hardship to any person liable to pay the same, the City Corporation may, at a meeting, reduce the same to the extent of 15 percent of the assessed amount, and once such deduction has been allowed, no further reduction shall be allowed by the City Corporation on the reduced amount. (2) If, in any case, the City Corporation is of opinion that a remission beyond 15 percent may be allowed, it may, after reduction up to 15 percent of the assessed amount and on payment of the amount so reduced by the payee, forward the case to the Divisional Commissioner with such recommendation as it may like to make, for consideration and order and the decision of the Divisional Commissioner shall be final. CHAPTER III TAX ON THE ANNUAL VALUE OF BUILDINGS AND LANDS, LIGHTING RATE AND CONSERVANCY RATE 19. Taxes to be assessed on the annual value of building and lands. - Subject to the provisions of the Ordinance and these rules, the following taxes and rates shall be levied in terms of the percentage of the annual value of buildings and lands, namely :(a) tax on buildings and lands ; (b) lighting rate; (c) conservancy rate. 20. Preparation of a valuation list. - (1) For the purpose of levy of any of the taxes or rates mentioned in rule 19, the City Corporation shall cause to be prepared a valuation list of all buildings within the City Corporation and such list shall be prepared by an assessor appointed for the purpose by the City Corporation. (2) The assessor shall, after making such inquiries as may be necessary, determine the annual value of all buildings and lands within the City Corporation in the manner provided in these rules and shall enter such value in a valuation list. (3) The manner of determining the annual value of building and lands shall be as follows :(a) For wholly let-out buildings. - (i) The annual value shall be taken to be the gross annual rental minus two month's rent as maintenance allowance; and if the property is mortgaged to the Government, Bangladesh House Building Finance Corporation, scheduled bank or any other financial institution under registered instrument for securing funds for construction or purchase of the same, then the annual interest payable on account of such mortgage-debt shall also be deducted. (ii) If the monthly rental of any building appears to be abnormally high or unusually low, the assessor, while determining annual value, may have regard to the rent at which buildings and lands of similar description and with similar advantages in the locality may be let-out. (b) For wholly occupied buildings. - The annual value shall be deemed to be the probable annual rent at which the buildings and lands of similar description and with similar advantages in the locality may be let out or at 7 percent of the value of the building on the date of assessment plus ground-rent for the land comprised in the building, whichever is less, minus the following :(a) two months rent, or one-sixth of the annual value, as the case may be, as maintenance allowance ; (ii) 40 percent of the annual value after deduction of the amount mentioned in item (i);

(iii) if the property is mortgaged to the Government, Bangladesh House Building Finance Corporation, scheduled bank or any other financial institution for securing funds for its construction or purchase of the same, then the annual interest payable on such mortgagedebt. (c) For partly rented and partly occupied buildings. - The annual value of the rented portion shall be calculated in the manner as specified in clause (a) and that of the occupied portion as in clause (b). 21. Preparation of valuation list. - A new valuation list shall, unless otherwise ordered by the Government, be prepared in the manner specified in rule 20 once in every five years. 22. Returns required for ascertaining annual value. - The assessor may, in order to prepare the valuation list, by notice in Form A require the owner or occupier of a building or land to furnish him within one week with true and correct returns of the rent or annual value thereof in Form B and a true and correct description of the building containing such particulars as the assessor may direct, and the assessor may enter, inspect and measure any such building at any time between sun-rise and sun-set : Provided that at least twenty-four hours previous notice of the intention to enter, inspect and measure any building shall be given to the occupier thereof unless he waives his right to such notice. 23. Preparation of assessment list. - The City Corporation shall cause to be prepared an assessment list in Form C which shall contain the following particulars and any others which the City Corporation may think proper to include :(a) the name of the street in which the building or land is situated ; (b) the number of the building or land on the register ; (c) a description of the building or land ; (d) the annual value of the building or land ; (e) the name of the owner ; (f) the amount of tax or rate payable for the year (each tax or rate to be shown separately) ; (g) the amount of quarterly installment ; and (h) if the building or land is exempted from assessment, a note to that effect. 24. Publication of notice of assessment. - (1) When the assessment list mentioned in rule 23 has been prepared, the Mayor or, in his absence, the Chief Executive Officer shall authenticate the same by putting his signature on each page and then shall cause it to be deposited in the office of the City Corporation and shall give public notice of the place where the list may be inspected. (2) In all cases in which any property is, for the first time, assessed, or the assessment if altered under rule 7[26(1)], the City Corporation shall also give notice thereof to the owner or occupier of the property if known : Provided that when a general assessment is made, a notice thereof may be given by affixing a copy of the assessment list in the office of the City Corporation and at a prominent place in each ward and by announcing the fact in such other manner as it deems fit. 25. Final list of assessment and its duration. - Every alteration made in the assessment list in pursuance of orders of an Assessment Review Board under rule 8[7(8)] or the orders of the Divisional Commissioner under rule 7(13), as the case may be, shall be signed by the Mayor or, in his absence, by the Chief Executive Officer of the City Corporation ; and the assessment list thus prepared shall be the final list of assessment and shall remain valid until a fresh list is prepared subject to any alteration or amendment under rule 26. 26. Amendment or alteration of list. - (1) The City Corporation may, at a meting, at any time, direct alteration or amendment of the assessment list (a) by entering therein the name of any person or any property which, in their opinion, ought to have been entered, or any property which has become liable to taxation after the preparation of the final list under rules 25 ; or (b) by substituting therein for the name of the owner of any building or land the name of any other person who has succeeded by transfer or otherwise to the ownership of the building ; or (c) by altering the valuation of or assessment on any building or land which, in their opinion, has been incorrectly valued or assessed ; or

(d) by re-valuing or re-assessing any building or land, the value of which has been increased by additions or alteration ; or (e) by reducing, upon the application of the owner, the valuation of any building or land which has been wholly or partly demolished or destroyed or the value of which has been diminished ; or (f) by correcting any clerical or arithmetical error. (2) The City Corporation shall give at least one month's notice to any person for any alteration which they propose to make under clauses (a), (b), (c), (d) or (f) of sub-rule (1) and of the date on which the person shall be heard. (3) The provisions of rules 7, 25 and 27 shall apply mutatis mutandis to any objection made in pursuance of a notice issued under sub-rule (2) and to any application made under clause (e) of sub-rule (1). 27. Increase of amount of assessment of a building or land. - If a City Corporation is satisfied that the rent of a building or portion thereof or land has been increased after the publication of the final assessment list to such extent that, in the opinion of the City Corporation, it justifies the re-valuation of the building, it may, notwithstanding anything contained in these rules and after giving the owner an opportunity of being heard, direct the amendment of the assessment list by increasing the assessment on such building. 28. payment of tax how affected by objections to valuation. - 9[(1)] When an objection has been filed under rule 7(1) or an appeal has been preferred under rule 7(13), the tax or rates shall, pending the final decision on such objection or appeal, be paid on the previous assessment or valuation. (2) When the appeal has been finally decided and results in previous assessment or valuation being altered (a) any sum paid in excess shall be refunded or allowed to be set off against any present or future demand of the City Corporation under the Ordinance ; and (b) any deficiency shall be deemed to be an arrear of the tax and to be recoverable as such. 29. Conclusiveness of entries in the list. - An entry in the assessment list shall be conclusive proof of the amount, leviable in respect of any building during the period to which the list relates. 30. Power to assess building and lands together where land is on a building lease. - If, any building belongs to one owner and the land on which it stands belongs to another, the City Corporation may treat such building and land either as a single building or separately and assess them to tax in a manner most convenient and expedient. 31. Notice of transfer of title. - (1) Whenever the title to or over any building and the land on which it stands is transferred, both the transferor and the transferee shall, within three months of the registration of the deed of transfer, or if no instrument be executed, within three months of the actual transfer, give notice in writing of such transfer to the City Corporation. (2) Every person primarily liable to the payment of any tax or rate on any building, who transfers his title to or over such property without giving notice of such transfer to the City Corporation shall, unless the City Corporation, on grounds of hardship, otherwise directs, continue to be liable for the payment of the tax or rate payable in respect of the said property until he give such notice. (3) Nothing in this rule shall diminish the liability of the transferee for the said tax or rate or to affect the prior claim of the City Corporation for the recovery of the tax or rate due thereupon and the City Corporation may revise the assessment list as against the transferee with effect from the date on which they are satisfied that the transfer was made. 32. Persons succeeding to lands or buildings to give notice to the City Corporation. - Every person succeeding to any building or land by inheritance shall, within three months from the date of such succession, give notice in writing of such succession to the City Corporation and the provisions of rule 31 (3) shall apply mutatis mutandis to such a case. 33. Tax by whom payable. - Except as otherwise provided in these rules, the tax which is assessed on the annual value of building or land shall be payable by the owner of the building or land and in the event of default by the owner, it may be recovered from the occupier, if any, by attachment of any rent due by such occupier to the owner ; and when rent is attached under this rule, it shall be recoverable by the City Corporation in the

manner provided in these rules. 34. Amount of tax payable, and paid in advance. - (1) The amount entered in the final assessment list assessment list under rule 25, shall be deemed to be the amount due from any person on account of the tax on the annual value of buildings. (2) Such tax shall be payable in quarterly installment and every such installment shall be deemed to be due on the first day of the quarter in respect of which it is payable. (3) A City Corporation shall accept such tax, if paid in advance, for any period not exceeding the period of the current assessment. 35. Determination of percentage of taxes or rates before finalization of annual budget. - Subject to the maximum rate sanctioned by the Government, the City Corporation shall, at a meeting to be held before the annual budget is finalized, determine the percentage on the annual value of buildings and lands at which any of the taxes or rates mentioned in rule 19 shall be levied in the next financial year and the percentage so fixed shall remain in force until the City Corporation at a meeting shall determine any other percentage on the annual value at which the rate shall be levied at the beginning of the next financial year : Provided that, when the Ordinance is first extended to any place, the first tax or rate shall be levied from the date as may be specified by the sanctioning authority. 36. Restrictions on imposition of tax on buildings. - (1) The tax on buildings, including conservancy rate, shall not be imposed on any building which is used exclusively as a place of worship to which the public have a right of free access or as a mortuary or which is duly registered as a public place of burial or cremation ground. (2) The City Corporation may, at a meeting, either wholly or partially, exempt from the tax on building any building which is used exclusively for purposes of public charity. (3) Where the annual value of a building within the City Corporation does not exceed two hundred taka, the tax on building shall not be imposed on such building. 37. Restrictions on the imposition of lighting rate. - The imposition of a lighting rate shall be subject to the following restrictions, namely :(a) that the rate shall be imposed only on building within an area for the lighting of which, a scheme involving the laying of wires, cables, erection of lamp post or other similar apparatus, has been sanctioned by the Government. (b) that the rate shall not be leviabel the lamps are lighted in the area ; and (c) that the lighting rate shall not be imposed on the holdings lying beyond three hundred feet of the street lamp post. 38. Restriction on the imposition of the conservancy rte. - The imposition of the conservancy rate shall be subject to the restrictions that the rate shall not be leviable in any area until the City Corporation makes provision for the cleaning of private latrines, urinals and cesspools and public streets within such area.

Holding Tax Assesment

The Assessment of Annual Valuation of any property is done either through the process of General Revaluation (GR) or through Interim Revaluation (IR). Periodic Revaluation of existing land/building is undertaken through GR in every 5-year cycle. Interim Revaluation (IR) is restored to when there is any addition/alteration in the land/building or increase/decrease in rental value in between a GR. The assessment process starts with issuing a notice to the Land/Building owner asking to submit true and correct returns of the rent or annual value there of in form 'B' and a true and correct description of the building containing such particulars as the assessor may direct.

After receipt of the documents submitted by the assesses, Assessor Physically inspects the site in order to verify the supplied documents. The details of the preemies, which are noted in a field book through such inspection are taken into consideration for proposed Annual Valuation. Once the Proposed Annual Valuation is done by DCC it is informed to the Assesses and asked for appeal (if it is not agreed by the assesses) in 30 days. Unless there is any appeal from the assesses the proposed Annual Valuation is Considered as Final. If there is any appeal (Using 'P' Form) from the assessee within the stipulated time the appeal is refereed to the Assessment Review Board (ARB) which is usually consists of one Civil Engineer, one lawyer and one ward Commissioner or salaried employee of DCC. Review Board/Appellate committee issues a notice (signed by TO) to the Tax payer for submitting necessary documents & statements justifying the decrease of valuation within given time. Tax payer submits necessary documents and statement justifying the decrease of valuation. Review board re-vaults the valuation, gives decision and issues a notice to the Tax Payer informing the new/Justified rate (if any) which is signed by TO. Mutation Rules "Mutation" here implied as Replacing of owner's name in the Assessment Register. The Mutation of name does not confer any title over the property on the person in whose favour the Mutation is granted. Recording of owner's/taxpayers name in the Assessment Register is necessary in order to assess land/bidding properly and to dispatch the tax bill to the right person liable to pay tax. Here Mutation is treated as amendment or alteration in valuation list which is mentioned in Section-26 of City Corporation Taxation Rules-1986. 26. Amendment or alteration of list (1) The City Corporation may, at a meting, at any time, direct alteration or amendment of the assessment list 26(b) by substituting therein for the name of the owner of any building or land the name of nay other person who has succeeded by transfer or otherwise to the ownership of the building ; or 26(f) by correcting any clerical or arithmetical error. Following sections of City Corporation (Taxation) rules, 1986 are also relevant to the Mutation 30. Power to assess building and lands together where land is on a building lease. If, any building belongs to one owner and the land on which it stands belongs to another, the City Corporation may treat such building and land either as a single building or separately and assess them to tax in a manner most convenient and expedient. 31. Notice of transfer of title (1) Whenever the title to or over any building and the land on which it stands is transferred, both the transferor and the transferee shall, within three months of the registration of the deed of transfer, or if no instrument be executed, within three months of the actual transfer, give notice in writing of such transfer to the City Corporation.

(2) Every person primarily to the payment of any tax or rate on any building, who transfers his title to or over such property without giving notice of such transfer to the City Corporation shall, unless the City Corporation, on grounds of hardship, otherwise directs, continue to be liable for the payment of the tax or rate payable in respect of the said property until he give such notice. (3) Nothing in this rule shall diminish the liability of the transferee for the said tax or rate or to affect the prior claim of the City Corporation for the recovery of the tax or rate due thereupon and the City Corporation may revise the assessment list as against the transferee with effect from the date on which they are satisfied that the transfer was made. 32. Persons succeeding to lands or buildings to give notice to the City Corporation Every person succeeding to any building or land by inheritance shall, within three months from the date of such succession, give notice in writing of such succession to the City Corporation and the provisions of rule 31 (3) shall apply mutatis mutandis to such a case. Mutation Procedure DCC is not responsible for land Mutations Case. Only properties already assessed and having a DCC holding number are entertained for Mutation in case of change in ownership. A prescribed application form ('M' form) for Mutation is available at any Zonal Taxation Office of DCC and at the DCC head office at the cost of taka 10/-. Application should be properly furnished and should be submitted to the Taxation Officer of concerned zone along with the following documents 1. 2. 3. 4. 5. 6. 7. Purchase Deed (Attested Copy) Via Deed (Attested Copy) (if necessary) Porcha (Attested Copy) Duplicate Carbon Receipt (DCR) (Attested Copy) Land Tax Receipt (Attested Copy) Up-to-date Holding Tax Payment Receipt (Copy) Succession Certificate (Attested Copy) (if necessary)

After receiving of the Application for Mutation a one month's Notice is served to all concerned in order to make sure that they don't have any objection to this Mutation. If there is any objection it should be reported to the concerned T.O. within the stipulated time. In that case concerned T.O. invites all concerned parties for a hearing to justify the objection. If the objection is justified the Mutation Application case is dismissed at that stage Sometime the case is refered to the law officer of DCC for his legal opinion. If there is no objection from the concerned parties and Applicant along with attached documents found valid the Mutation Case is forwarded to the concerned DCRO for approval. As soon as DCRO Approves the Mutation Case it is communicated to the applicant throng a letter by the concerned T.O. Assess ment Example Valuation/Assessment of Holding is done by determining the annual value of building & land as follows: (a) For wholly let-out buildings (i) The annual value shall be taken to be the gross annual rental minus two month's rent as maintenance allowance and if the property is mortgaged to the Government, Bangladesh House Building Finance Corporation, scheduled bank or any other financial institution under registered instrument for securing funds for construction or purchase of the same, then the annual interest payable on account of such mortgage-debt shall also be deducted.

(ii) If the monthly rental of any building appears to be abnormally high or unusually low, the assessor, while determining annual value, may have regard to the rent at which buildings and lands of similar description and with similar advantages in the locality may be let-out. Example:- Let us consider a two storied building having 2 rooms, 1 kitchen & 1 bath in each floor of an area 500 sft. The rent or Reasonable Rent (RR) of each floor is taken to be Tk. 2,500/- then, Annual Value Rent or Reasonable Rent of ground floor Rent or Reasonable Rent (RR) 1st floor = Tk. 2,500/= Tk. 2,500/= Tk. 5000 12 = Tk. 60,000/=Tk. 10,000/= Tk. 50,000/-

Minus (2 month's rent)

(b) For wholly occupied buildings The annual value shall be deemed to be the probable annual rent at which the buildings and lands of similar description and with similar advantages in the locality may be let out or at 7 percent of the value of the building on the date of assessment plus ground-rent for the land comprised in the building, whichever is less, minus the following:(a) Two months rent, or one-sixth of the annual value, as the case may be, as maintenance allowance (i) 40 percent of the annual value after deduction of the amount mentioned in item (i) (ii) if the property is mortgaged to the Government, Bangladesh House Building Finance Corporation, scheduled bank or any other financial institution for securing funds for its construction or purchase of the same, then the annual interest payable on such mortgagedebt. Example:- Let us consider a two storied building having 2 rooms, 1 kitchen & 1 bath in each floor of an area 500 sft. (Wholly occupied) Reasonable Rent (RR) of each floor is taken to be Tk. 2,500/- then, Annual Value Reasonable Rent (RR) of ground floor Reasonable Rent (RR) 1st floor = Tk. 2,500/= Tk. 2,500/= Tk. 5000 12 = = = = = Tk. Tk. Tk. Tk. Tk. 60,000/10,000/50,000/20,000/30,000/-

Minus (2 month's RR) Minus (40%) (c) For partly rented and partly occupied buildings

The annual value of the rented portion shall be calculated in the manner as specified in clause (a) and that of the occupied portion as in clause (b). Example:- Let us consider a two storied building having 2 rooms, 1 kitchen & 1 bath in each floor of an area 500 sft. of which ground floor is rented at Tk. 2500/- per month and 1st floor is self occupied, thenAnnual Value

Rent of ground floor = Reasonable Rent (RR) 1st floor =

Tk. 2,500/Tk. 2,500/= Tk.5,000/- 12 = Tk. 60,000/-

Minus (2 month's rent)

= Tk. 10,000/= Tk. 50,000/Tk. 10,000/= Tk. 40,000/-

Minus (40% of the occupied portion) = Determination of Tax

When the Annual Valuation of a property is done, the amount of tax payable is determined by following rates:Holding Tax= 7% of the Annual Valuation Conservancy= Lighting Rate= Total Annual Tax= 2% of the Annual Valuation 3% of the Annual Valuation 12% of the Annual Valuation

Tax can be paid quarterly (3 Months) basis which is one fourth of the total Annual Tax. There are some rebate (discount) arrangements for early payment of City Corporation Taxes. For detail of rebate please see "Payment of Taxes". Generation of Tax Bill Regular Bill: Concerned Zonal Taxation office prepares all the bills for the whole year and delivers it to the tax payer (usually at the address of concerned holding) within the 1st month of the financial year. The Bill Book has 4 copy of each page. i,e. Corporations Copy, Bank's Copy, Tax Payer's Copy & Office Copy. Bill Book is also delivered to the address of the tax payer other than the holding address only when it is desired (in writing) by the actual owner. Any complaint regarding non-receipt of the tax bill should be reported to the concerned Zonal Tax Office (See contacts). Duplicate Bill is also Issued from the concerned Zonal Tax Office in case of non-receipt of Original Bill. Duplicate Bill has to be collected physically from the concerned Zonal Taxation Office. Supplementary Bill is issued in case of my alteration or change in valuation. It is also delivered to the tax payer at his/her address. Payments of Tax Bill book is prepared for the whole financial year & it is issued/delivered to the tax payer at his/her holding address or at any other address as desired by the tax payer. Bill Book is delivered within July of each fiscal year. There is a receipt part of the bill book. Bill is issued quarterly basis. But there is a provision of 5% rebate if quarterly tax is paid within 1st month of the quarter and 10% rebate for making payment of tax for the whole year within the 1st quarter, 7.5% rebate for advance payment of quarterly tax (more than one but less than 4 quarter at a time) within rebate date of current quarter. Bill book has 4 copy of each page. i,e. Corporation's copy, Bank's Copy, Tax Payer's Copy & Office Copy. Tax can be paid through any of the following 2 ways 1. Following Branches of Janata Bank :- ............................ list. 2. Concerned Revenue Supervisor receives taxes physically in cash at the tax payer's site

(Valid receipt is given upon payment). Change of Address If someone (Tax payer) wants to get the tax Bill and all other relevant correspondence from DCC at an address other than the holding address he/she should inform the matter to the concerned Zonal Taxation office in writing. Only the original/valid tax payer can make such a request.