The Greater Hyderabad Municipal Corporation (GHMC) witnessed an increase in property tax collection compared to the corresponding period last year, despite the coronavirus pandemic lockdown period.

The civic body raised Rs 1,136.74 crore in property tax between April 1 and October 31 this year, slightly higher than the property tax collection of Rs 938.70 crore during the same time last year.

Slight Increase Property Tax Collection

In the GHMC limits, there are around 16.92 lakh properties, including 13.50 lakh residential housing structures. Despite the effects of the Covid-19 pandemic, Rs 573.42 crore in property tax was collected by the municipal corporation under the Early Bird Scheme (EBS) this financial year. The state had extended the EBS scheme by one month earlier this year, until May 31, taking into account the lockdown.

Rs 248.03 crore was also collected by the municipal corporation under the One Time Scheme (OTS). For accumulated arrears of the interest portion on property tax under the OTS, the state government is providing a waiver of 90 per cent tax. Taxpayers can only use the waiver if they clear up the cumulative amount of property tax dues and 10 percent interest until 2019-2020.

The GHMC officials announced that over the past two decades, there had been 5.64 lakh property tax assessments with an accumulation of property tax arrears amounting to Rs 1,477.86 crore. The interest rate against the same amount was approximately Rs 1,017.76 crore until the 2019-20 financial year. 

Of the 5.64 lakh property tax assessments found, nearly 1.10 lakh property tax assessments have been charged to date. With the State Government extending the OTS deadline until November 15, members of the civic body are expecting to collect more taxes.

Officials said the OTS could not be extended any further and called on building owners to take advantage of the opportunity and clear their dues. While the municipal corporation concentrated on growing collections this financial year, the Covid-19 pandemic affected collections.

By: Shailaja K