CITY folk are calling for any potential tax increases in Kuala Lumpur to be accompanied by tangible improvements to infrastructure and local government services.
These include the creation of more public parks, better transportation services, upgraded amenities and stricter enforcement by Kuala Lumpur City Hall (DBKL).
1Razak Mansion management corporation chairman Anthony Tan, 34, hopes for significant upgrades to infrastructure and public services in his area.
“There are around 20,000 residents within a 1km radius of 1Razak Mansion and Razak City Residences, who collectively contribute about RM6mil annually in assessment taxes.
“Yet we still lack basic infrastructure such as access roads, pedestrian walkways and a government clinic,” he said.
Tan criticised the delayed pedestrian walkway project reportedly due to budget constraints.
Questioning the lack of investment in the area despite its significant tax contributions, he said the government needed to ensure taxpayers saw returns on what they were paying.
Seputeh Residents Representative Council chairman Alvin T. Ariaratnam said, “If DBKL is planning to increase taxes, the least they can do is address congestion issues and provide better transportation services.
“We need a system that works efficiently for everyone.”
Brickfields Rukun Tetangga chairman SKK Naidu called on DBKL to step up enforcement if taxes were raised.
“We need stricter action against roadside parking that clogs traffic, and restaurants encroaching on walkways, making it impossible for pedestrians to move freely,” he pointed out.
The residents’ request comes amid news that Kuala Lumpur may follow Selangor’s lead in raising assessment taxes next year.
StarMetro reported that Minister in the Prime Minister’s Department (Federal Territories) Dr Zaliha Mustafa said DBKL might increase taxes, but any changes would be implemented in phases, likely starting with industrial tax rates.
“We are reviewing all types of taxes, not just assessment taxes but also quit rent, and have been collaborating with the finance departments of various agencies to study the matter comprehensively,” she had said.
Dr Zaliha also revealed that DBKL had been running a deficit in recent years, necessitating efforts to boost revenue.
City Hall last reviewed assessment rates in 2013 – the first adjustment in 21 years.
In June 2014, then Federal Territories minister Datuk Seri Tengku Adnan Mansor announced that the increase would be capped at 10% for residential properties and 25% for commercial premises.
Meanwhile, Selangor government recently approved a 25% hike in assessment rates across all local councils, effective Jan 1, 2025.
In justifying the increase, the state said it was necessary to update outdated property valuations and improve local government services.
The revaluation exercise was also deemed overdue, as property charges in Selangor had remained unchanged for 20 to 40 years.
Under Local Government Act 1976, local authorities in Malaysia are permitted to review and revise assessment rates every five years.