https://www.taxtmi.com/article/detailed?id=298 Municipalities commonly impose higher rates on office or commercial premises by higher valuation, higher tax rates or additional levies; however municipal taxation functions as a charge for civic services and amenities rather than a tax on rental income. A comparative analysis of municipal services shows residential occupiers use water, sewerage, garbage disposal, street lighting, parks, registration services and other amenities far more extensively by days and hours of use than office occupiers. Aggregating active and passive use, office premises consume substantially less municipal services than residences; accordingly higher municipal taxation of office premises lacks proportional justification, though higher rents for commercial premises may arise from separate factors such as tax uncertainty, vacancy risk and legal and business-related risks. en-us Sat, 28 Feb 2009 00:00:00 +0530 Thu, 10 Dec 2009 21:32:21 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=298 Municipalities commonly impose higher rates on office or commercial premises by higher valuation, higher tax rates or additional levies; however municipal taxation functions as a charge for civic services and amenities rather than a tax on rental income. A comparative analysis of municipal services shows residential occupiers use water, sewerage, garbage disposal, street lighting, parks, registration services and other amenities far more extensively by days and hours of use than office occupiers. Aggregating active and passive use, office premises consume substantially less municipal services than residences; accordingly higher municipal taxation of office premises lacks proportional justification, though higher rents for commercial premises may arise from separate factors such as tax uncertainty, vacancy risk and legal and business-related risks. Articles Other Topics Sat, 28 Feb 2009 00:00:00 +0530 https://www.taxtmi.com/article/detailed?id=298