Pune: PMC to Levy Extra Property Tax on Developers to Recover Costs of Demolishing Illegal Structures
Pune, 13th October 2026: Developers who carry out illegal constructions in Pune will face additional property tax on their other properties if they fail to pay demolition charges, a senior Pune Municipal Corporation (PMC) official said.
Pravin Shende of the PMC building permission department said the civic body would recover demolition expenses by imposing additional tax on developers’ other properties. The move aims to recover public money spent on demolition and deter unauthorised construction, he said.
The PMC has issued notices to developers seeking reimbursement, but most have ignored them, with only a handful making payments. Demolition drives involve expenses on workers, earthmovers, jaw cutters, fuel, equipment rentals and police protection.
The estimated demolition cost for a typical 1,000 sq ft unauthorised structure is around Rs 1 lakh.
Between 2020 and 2026, the PMC’s building permission and enforcement departments issued 24,000 notices under the Maharashtra Regional and Town Planning (MRTP) Act against unauthorised structures across the city.
