The State Fifth Finance Commission today advocated more freedom to civic bodies to carry out projects and said their revenue mobilization routes should be strengthened by revising tax rates and fees charged by them.
"Rates of taxes and other fees collected on various services by local self-government institutions have not been revised for the past 25 years. So steps should be taken to rationalise the rate of taxes and fees structures," Commission Chairman B A Prakash told reporters here.
The Commission today elicited the views of political parties in the state for finalising its report on devalution of funds to local bodies.
Prakash said the Commission would submit the first part of its report on devolution of funds in December to enable the government incorporate its recommendations in the 2015-16 budget.
"The Commission is of the view that there should be a periodical revision of taxes and fees charged by local bodies at least once in five years, he said, adding this was also one of the main suggestions put foward by representatives of major political parties in today's meeting.
Political parties also wanted freedom for civic bodies to implement development projects, he said, adding the commission agreed with their views.
