Sindh reviews property tax system with World Bank

Sindh Local Government Minister Syed Nasir Hussain Shah met a World Bank delegation to review how the province collects property tax on immovable property, Daily Times reported, with officials discussing collection improvements, transparency and the financial position of local councils.

The meeting, also reported by Business Recorder, was attended by World Bank representatives, the chairman of the Planning and Development Board, the additional chief secretary for local government and other relevant officials. They were briefed on the existing property tax collection mechanism, town-level collection and how the generated funds are used.

Shah said the basic aim of town-level property tax collection was to make local councils financially self-reliant and able to deliver better municipal services. He said strengthening elected local representatives and institutions at the grassroots guaranteed relief to citizens at their doorsteps, and that financially and administratively strengthening the local government system was among the Sindh government's priorities.

The minister directed that a special monitoring mechanism be established for property tax funds so taxpayers' money is used fairly, transparently and in the public interest. He said revenue would be spent on streets, roads, streetlights, drainage and other basic infrastructure so taxpayers can see the benefit of their contributions in their neighbourhoods.

Shah said providing relief to people was the vision of Pakistan Peoples Party Chairman Bilawal Bhutto Zardari and the mission of the Sindh chief minister. He said local government institutions must be effective, functional and accountable. He also said healthy competition among towns would be promoted on the basis of performance and municipal service delivery, and towns showing outstanding performance would receive special development grants.

The minister directed the establishment of a modern system to keep complete and authentic records of property tax collection, and said transparency must be ensured at every stage of collection and utilisation.

The meeting discussed proposals to improve property tax coverage, make collection more effective and enhance the financial autonomy of local government institutions. The World Bank delegation appreciated the Sindh government's measures and assured continued cooperation, while the provincial government assured the delegation of its full cooperation.