GHMC gets cracking on property tax and trade license fee defaulters

‘If the tax is not paid even after the notices, we will issue distress notices, after which the properties will be seized’

The financially beleaguered Greater Hyderabad Municipal Corporation (GHMC) is preparing itself for tough measures against the defaulting property owners and traders in its jurisdiction.

Notices may be served on all the property tax defaulters after the festival days, asking them to pay in full along with the accumulated arrears, while the drive for collection of trade license fee is already on.

A total 6 lakh property tax notices are kept ready after taking approval from the Commissioner, and the total tax dues thereof amount close to ₹10,000 crore, officials informed, under the condition of anonymity. The said six lakh properties are for which assessment has been completed, and tax dues have accumulated for years. They also include a large number of government properties such as schools and hospitals.

Additional Commissioner in charge of Revenue Anurag Jayanti, when contacted, confirmed that notices would be served soon for tax payment, while not specifying the number of properties on which the dues are pending.

While the GHMC targets ₹1970 crore by way of property tax by the financial year-end, the collections so far have been around ₹1,400 crore.

“If the tax is not paid even after the notices, we will issue distress notices, after which the properties will be seized,” informed an official.

On the front of trade license fee, the Corporation has already made giant strides when compared with last year. Through focussed drives, it could garner ₹22 crore within the first week of the new year, as against ₹10 crore last year.

The year-long collection of trade license fee last year was mere ₹95 crore, which at the going rate, the Corporation could garner within one month this year, officials hope.

SMS blasts are being sent, and targets have been fixed for the Assistant Medical Officers of Health, license officers, and veterinary officers who have been deployed on door-to-door visits of commercial establishments for collection of fee.

So far, about 25,000 traders have paid the fee, as against 8,000-plus last year around this time, officials informed.

GHMC has only 1.8 lakh trade licensees, as against 3.25 lakh establishments registered as commercial as per the property tax records. GHMC Commissioner K. Ilambarithi informed that the focus is on bringing the remaining too in the ambit of trade license.

If the fee is unpaid till the month end, 25% penalty will be levied starting from February 1, as already alerted by GHMC.

Published - January 11, 2025 08:43 pm IST