No Hike In Property Tax For Pune Residents In 2025-26, Confirms PMC
Pune, 29th January 2025: The Pune Municipal Corporation (PMC) has announced that there will be no increase in property tax for the financial year 2025-26, providing relief to residents. The proposal has been placed before the Standing Committee for approval.
The last revision in property tax was in 2016, when rates were increased by 10%. Since then, for the past eight years, the PMC has not implemented any further hikes. As per legal provisions, a decision on tax levies for the upcoming financial year must be made before 20th February. However, with an administrator overseeing PMC operations for the past three years in the absence of an elected municipal body, the tax rate has remained unchanged.
While maintaining the current tax structure will impact revenue, the administration plans to boost collections by identifying new properties, recovering outstanding dues, and auctioning tax-defaulted properties. A final decision is expected in the Standing Committee meeting scheduled for Friday.
According to municipal records, property tax was increased by 16% in 2010-11, followed by a 6% hike in 2013-14, and the last 10% revision in 2015-16. Since then, no further increases have been made. Despite the inclusion of 11 villages in 2017 and an additional 23 villages in 2021 under the PMC’s jurisdiction, the property tax rate has remained unchanged, with administrators opting to defer any hike since 2022.
Existing tax concessions will continue, including a 40% exemption for owner-occupied residential properties, exemptions for the families of martyred soldiers, and tax benefits for recipients of the Rashtrapati Award.
