Municipal Finance- Taxation and Revenue augmentation

Salokhe Sairaj Ajit

UM4000-2

The Municipal Finance system of Dholka Municipality —an evolving Class A municipality—was studied to assess its institutional structure, Taxation practices, and financial planning. The project aimed to understand operational roles, revenue mechanisms, and the overall fiscal health of the municipality. The study examined budget documents, digital finance platforms, and departmental workflows, while field consultations provided insights into administrative challenges and service delivery gaps. Field visits and stakeholder consultations were conducted to study property tax collection, expenditure practices, and grant management. The studio also examined service-level benchmarks and financial indicators to assess the municipality’s fiscal performance over recent years. Through this, a comprehensive understanding of Dholka’s financial management system and its alignment with governance frameworks was developed.

Report Content

Overview of Dholka City

Existing scenario of Municipal Finance and Taxation in Dholka Municipality

Organizational structure and departmental roles in Dholka Municipality’s Finance and Tax system

Existing scenario of Municipal Finance and Taxation in Dholka Municipality

Gaps identified through Assessment of Documents, Acts and Citizen surveys

Revenue share of different Taxes and Tax Assessment Toolkit results for Dholka Municipality

Trend analysis and Property Tax collection Gaps in Dholka Municipality over five years

Ward wise defaulters analysis and Root cause analysis for low Tax collection in some wards compared to others

Summary of key issues and proposed vision for strengthening municipal finance system of Dholka

Implementable case studies that can be basis for proposals intended to improve the fiscal health and overall state of Municipal Finances of Dholka Municipality