How does the municipal corporation get money to build parks, hospitals, and provide other services?

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Solution

The municipal corporation gets money from taxes. Taxes are paid by citizens for the services provided by the government. There are different types of taxes. For instance, those who own homes pay property tax. Property tax accounts for 25-30 per cent of the revenue of municipal corporation.

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Several poor people in the city work as domestic servants as well as work for the Corporation, keeping the city clean. Yet the slums in which they live are quite filthy. This is because these slums seldom have any water and sanitation facilities. The reason often given by the Municipal Corporation is that the land in which the poor have set up their homes does not belong to them and that slum-dwellers do not pay taxes. However people living in middle class neighbourhoods pay very little in taxes compared to the amount of money the Corporation spends on them in setting up parks, street lighting facilities, regular garbage collection etc. Also as you read in this chapter, the property taxes collected by the Municipality make up only 25-30 per cent of its money. Why do you think it is important that the Corporation should spend more money on slum localities? Why is it important that the Municipal Corporation provide the poor in the city with the same facilities that the rich get?

Q. Several poor people in the city work as domestic servants as well as work for the Corporation, keeping the city clean. Yet the slums in which they live are quite filthy. This is because these slums seldom have any water and sanitation facilities. The reason often given by the Municipal Corporation is that the land in which the poor have set up their homes does not belong to them and that slum-dwellers do not pay taxes. However, people living in middle class neighbourhoods pay very little in taxes compared to the amount of money the corporation spends on them in setting up parks, street lighting facilities, regular garbage collection etc. Also as you read in this chapter, the property taxes collected by the Municipality makes up only 25-30 percent of its money. Why do you not think it is important that the Corporation should spend more money on slum localities? Why is it important that the Municipal Corporation provide the poor in the city with the same facilities that the rich get?

Q. Write the names of three public conveniences that the municipalities and municipal corporation provide.

Q. To fulfil its duty towards providing education, the Municipal Corporation runs several ___________ and ____________ schools.

Q. Property taxes form only __________ percent of the money that a Municipal Corporation earns.

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