MUNCIPAL LEVIES
NARESH
(Querist) 08 November 2009
This query is : Resolved
Hi,
For last 7 years i am living overseas and my flat in mumbai is non occupied (non tenanted) and it looks that our society is charging us full levies though they claim its 10%. I have also noticed in the invoice that we been charged for water.
can you please advise what are rules?
Thanks
Naresh
Raj Kumar Makkad
(Expert) 08 November 2009
If you are not consuming any facility, you are not liable to pay against that except the nominal charges of maintenance. You can seek the details of charges and statement of accounts of the society. After obtaining the details, you can make representation and then further can file suit.
AEJAZ AHMED
(Expert) 08 November 2009
Dear Naresh,
By virtue of the powers under section 79A of the Maharashtra Cooperative Societies Act, 1960, the State Government issued a NOC circular in 2001, which fixed the ceiling on NOC at 10% of the "service charges".
The term "service charges" has also been defined in the bye-laws and it does not include the municipal taxes. By and large the outgoings on the common amenities/service could be included within the meaning of service charges. For example house keeping of the premises, electricity charges for the pump and light etc. in the premises, including the stair-cases, security charges, garden maintenance, payment of staff salaries and so on and so forth. The burden of such charges is required to be borne by every member, whether such member is occupying the flat or not. However, the bye-laws have envisaged that a member who is not occupying the flat is required to pay some additional contribution over and above the service charges, whether the non occupation is by way of keeping the flat locked or it being given on leave and licence/lease basis.
The August 2001 notification clearly spelt out that in case societies have not amended the old byelaw on NOC then they would have to amend and update it. Moreover, even if the amendments are not made, societies cannot charge more than 10 per cent of the service charges.
Thus, the issue of the quantum of the non-occupancy charges has been finally settled by the Hon’ble Bombay High Court by its Judgment dated the 2nd March 2007 by unholding the Government Order dated 1st August 2001, prescribing the non-occupancy charges not more than 10% of the service charges, excluding property taxes, both in respect of residential as well as commercial premises, irrespective of the fact whether the new Bye-laws are adopted by the Societies or not.
Kindly go through atached Judgment:
