Sanitation Tax - An innovative way to finance sanitation services

September 2020

Sanitation tax is a tax collected by urban local government for provision of sanitation services. It is often collected through the bills for property tax or water charges. Local governments use the proceeds of sanitation tax for providing various sanitation services. This note outlines the provisions in various states India for sanitation tax and highlights the case study of two cities, Wai and Sinnar in Maharashtra where sanitation tax was successfully introduced to finance sanitation services.

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