18,000 properties in Pune civic body's merged areas remain untaxed
Real Estate

18,000 properties in Pune civic body's merged areas remain untaxed

Around 18,000 properties in the recently merged areas of the Pune Municipal Corporation (PMC) remain outside the tax system, resulting in a financial loss of approximately ?800 million for the civic body. A senior PMC official stated that 45 staff members had been identified for failing to perform their duties, and the civic body intended to take action against them, imposing a fine equivalent to one month’s salary for dereliction of duty.

Madhav Jagtap, head of PMC's property tax department, noted that the officials responsible for incorporating these properties into the tax system had received show-cause notices, and further action would be taken if they were found culpable. He added that the PMC had introduced a new system to ensure regular transfers of tax assessment staff, aimed at improving the tax assessment process, with the ward offices and the tax department head being kept informed to expedite the process.

Data showed that prior to the merger of 11 areas in 2017, PMC had around 850,000 properties under its jurisdiction. After the merger, this number rose to one million, and it further increased to 1.25 million in 2021 following the inclusion of 23 villages. PMC levies multiple charges under property tax, including municipal, general, water, cleaning, fire, tree conservation, and road taxes, along with education and other facility taxes.

Activists argued that action against senior officials was essential, with Vijay Kumbhar from Surajya Sangharsha Samiti claiming that some officials, in collusion with local influencers, ensured properties were not assessed, resulting in revenue loss for the civic body.

A PMC official highlighted that the total property tax owed by the 34 merged areas amounted to ?1,245 crore. Although the civic administration had initiated a campaign to seal properties of tax defaulters, this drive was halted following complaints from local leaders and residents about high tax rates in PMC areas. Property owners from the merged areas opposed the high tax rates, pointing to inadequate infrastructure as a reason for their objections.

According to PMC officials, tax rates are determined by the Annual Rateable Value (ARV), which reflects the annual rent at which the property could reasonably be let. Factors such as carpet area, property type, and ready reckoner rates are used to calculate property tax. All land or property owners within PMC limits are required to pay property tax, including owners of open land, and these factors also influence the rates applied to hostels and rental residential facilities.

Your next big infra connection is waiting at RAHSTA 2025 – Asia’s Biggest Roads & Highways Expo, Jio World Convention Centre, Mumbai. Don’t miss out!

Around 18,000 properties in the recently merged areas of the Pune Municipal Corporation (PMC) remain outside the tax system, resulting in a financial loss of approximately ?800 million for the civic body. A senior PMC official stated that 45 staff members had been identified for failing to perform their duties, and the civic body intended to take action against them, imposing a fine equivalent to one month’s salary for dereliction of duty. Madhav Jagtap, head of PMC's property tax department, noted that the officials responsible for incorporating these properties into the tax system had received show-cause notices, and further action would be taken if they were found culpable. He added that the PMC had introduced a new system to ensure regular transfers of tax assessment staff, aimed at improving the tax assessment process, with the ward offices and the tax department head being kept informed to expedite the process. Data showed that prior to the merger of 11 areas in 2017, PMC had around 850,000 properties under its jurisdiction. After the merger, this number rose to one million, and it further increased to 1.25 million in 2021 following the inclusion of 23 villages. PMC levies multiple charges under property tax, including municipal, general, water, cleaning, fire, tree conservation, and road taxes, along with education and other facility taxes. Activists argued that action against senior officials was essential, with Vijay Kumbhar from Surajya Sangharsha Samiti claiming that some officials, in collusion with local influencers, ensured properties were not assessed, resulting in revenue loss for the civic body. A PMC official highlighted that the total property tax owed by the 34 merged areas amounted to ?1,245 crore. Although the civic administration had initiated a campaign to seal properties of tax defaulters, this drive was halted following complaints from local leaders and residents about high tax rates in PMC areas. Property owners from the merged areas opposed the high tax rates, pointing to inadequate infrastructure as a reason for their objections. According to PMC officials, tax rates are determined by the Annual Rateable Value (ARV), which reflects the annual rent at which the property could reasonably be let. Factors such as carpet area, property type, and ready reckoner rates are used to calculate property tax. All land or property owners within PMC limits are required to pay property tax, including owners of open land, and these factors also influence the rates applied to hostels and rental residential facilities.

Next Story
Real Estate

Vitizen Hotels Signs Deal at Manyata Tech Park

Vikram Kamats Hospitality, as part of its ongoing expansion in key metropolitan markets, announced that its material subsidiary, Vitizen Hotels, has signed a long-term lease agreement for a 45-key hotel property at Manyata Tech Park, Bengaluru.Strategically located in the city’s prominent IT hub, the property is well-positioned to serve corporate travelers, business professionals, and long-stay guests. The addition aligns with the company’s asset-light growth model, leveraging long-term leases to expand its footprint in high-demand urban markets.The hotel is expected to strengthen the comp..

Next Story
Infrastructure Transport

CONCOR Signs MoU with BPIPL to Operate Container Terminal at Bhavnagar Port

Container Corporation of India (CONCOR) has signed a Memorandum of Understanding (MoU) with Bhavnagar Port Infrastructure (BPIPL) on September 4, 2025, in New Delhi to operate and maintain the upcoming container terminal at the northside of Bhavnagar Port, Gujarat.BPIPL had earlier entered into an agreement with the Gujarat Maritime Board (GMB) in September 2024 for the port’s development. Under this arrangement, 235 hectares of land has been leased to BPIPL for 30 years, with provision for expansion by an additional 250 hectares.The new terminal is expected to significantly enhance logistic..

Next Story
Infrastructure Transport

Concord Launches India’s First Indigenous Zero-Emission Rail Propulsion

Concord Control Systems (CCSL), a leader in embedded electronics and critical rail technologies, has announced the development of India’s first fully indigenous zero-emission propulsion system, marking a significant step toward the country’s railway electrification and net-zero goals for 2030.Powered by Lithium Iron Phosphate (LFP) batteries and featuring a DC chopper-based drive, the propulsion system eliminates idling losses common in diesel engines, offering higher efficiency, lower costs, and zero emissions.What sets this innovation apart is its completely indigenous design. Except for..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?