Municipal taxes to be collected through electricity bills in THIS City

KARACHI: Karachi Metropolitan Corporation (KMC) has started a new system of collection of municipal tax directly through electricity bills from July 2024, here on Wednesday.

As per the details, K-Electric, the city’s main electricity supplier, has started including these charges in monthly bills, marking a significant change in the way municipal taxes are collected in Karachi.

Karachi Mayor Murtaza Wahab has announced that this new method of tax collection is expected to generate 4 billion rupees. The revenue from Municipal Utility Charges Tax (MUCT) will be allocated for development projects in all Union Councils of Karachi. The move is part of a broader strategy to improve the city’s infrastructure and public services.

The mayor emphasized his commitment to transparency in the collection and use of these funds. He has promised to personally oversee all financial matters related to the initiative, ensuring that both the revenue generated and its expenditure will be closely monitored.

Breakdown of the New Municipal Tax Charges 2024

Karachi residents will notice an additional charge on their electricity bills, calculated based on their monthly electricity consumption. The tax structure is as follows:

101 to 200 units: An additional Rs20

201 to 300 units: An additional Rs40

301 to 400 units: An additional Rs100

401 to 500 units: An additional Rs125

Over 700 units: An additional Rs300

Commercial users will also be affected, with a municipal tax of Rs400 added to their bills.