ASSESMENT OF PROPERTY TAX COLLECTION FOR THE STATE OF ANDHRA PRADESH

Abstract

V Square Services is a company which provide third party tax collection services for Property tax. It collected 70 percentage of property tax debt which was 20 percentage more than that collected by the government which was only 50 percentage. This research tries to understand the method used by the organization in accomplish this efficiency and whether it can be implemented to other parts of the country. They achieve this feat by adopting a different methodology which was instead of collecting the tax simultaneously for the whole state they bifurcated it on the basis of villages which allows them to focus one place at a time there Firstly they collected information about the state about people then instead of telling each and every property owners their required debt they went on to create awareness about the advantages of paying tax and elaborating the benefits of paying tax on time and helping the nation grow this was achieved by organizing various awareness campaign in person as well as on social media after enlightening the people an invoice was raised for each and every homes and it was personally delivered to each and every homes and it was made sure that everyone received it. The whole process up till now requires about 10 to 12 days depending on the size of the village. After distributing the invoices people are given time of about 20 days to pay their taxes. After the complete process of 30 days the organization moves on to new village where the same process is repeated. To access the feasibility of the model adopted by the organization and possibility of the implement of it in the state of Andhra Pradesh as well as the whole country it needed to be recognize the challenges people are facing while paying property tax, what are the reasons people are avoiding these taxes and how can they be motivated to pay them on time. Basically the aim is to know the people up close and their driving forces behind taking paying or avoiding property tax along with it discover issues and flaws in the current tax collection model implemented by the Government of India for this purpose so it can be rectified. The research also wants to understand expectation of people from the paid tax or from the government and weather these expectations can be fulfilled by the company and if the fulfilment of these immediate needs impacts the amount collected.