At Rs 3.1K crore, revenue mop-up of top local bodies of UP soars 33%

The top 17 urban local bodies of Uttar Pradesh registered 33 per cent year-on-year (Y-o-Y) growth in revenue collection. These cities cornered Rs 3,100 crore in the last financial year (FY24) over Rs 2,340 crore in FY23.

Of the Rs 3,100 crore these local bodies collected nearly Rs 1,585 crore or more than 50 per cent in taxes. While Lucknow and Kanpur topped the revenue chart with Rs 904 crore and Rs 534 crore respectively, Ghaziabad, Prayagraj and Agra followed with Rs 350 crore, Rs 253 crore and Rs 215 crore.

These corporations include Lucknow, Kanpur, Varanasi, Ghaziabad, Agra, Gorakhpur, Prayagraj, Aligarh, Meerut, Jhansi, Ayodhya, Mathura, Bareilly, Saharanpur, Shahjahanpur, Moradabad and Firozabad.

Amrit Abhijat, principal secretary of the state's Urban Development department, said: “Geographic information systems-based databases and surveying were some of the focus areas assigned to the municipal commissioners to facilitate higher tax collection.” Additionally, the department upgraded online portals and mobile applications to streamline property tax collection and bill payments.

According to a former UP Chief Secretary, the rising tax and non-tax revenue from the local bodies augurs well for the urbanisation agenda of the Yogi Adityanath government.

“Such robust collection means the municipal corporations will depend less on state financial grants. This will foster local development and infrastructure projects, and encourage other urban and rural local bodies to follow suit,” he added.

To boost revenues collection, the department adopted revenue-based schemes like the Atal Mission for Rejuvenation and Urban Transformation, which stresses on local body financial stability.

Moreover, implementation of revenue-based schemes like the Chief Minister Green Road Infrastructure Development Scheme fostered competition for revenue generation among municipal corporations.

To incentivise timely payments, the urban development department and local bodies offer discounts to taxpayers. The department takes punitive action against property owners who default on tax payments, including property sealing and auctions.