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The High Court has issued a rule asking the authorities concerned to explain as to why collection of additional holding tax from Dhaka South City Corporation (DSCC) residents should not be declared illegal.
A bench, comprising of Justice Tarique-ul Hakim and Justice M Faruk, issued the rule on Sunday following a writ petition filed by 104 residents of Khilgaon area in the capital.
A total of five persons, including the Local Government Secretary, DSCC Mayor and its Chief Executive Officer, were made respondents to the rule.
Barrister Md Moktadir Rahman moved for the petitioners in the court.
According to the Municipal Corporations [Taxation] Rules, 1986, municipality authorities cannot charge more than 5-10 per cent tax.
In 2015, a gazette was published under this rule charging tax for buildings and land at 7 per cent, for waste management at 7 per cent and 5 per cent on street lights, 3 per cent for water, 8 per cent for health, taking to overall 30 per cent.