PMC Yet To Recover Rs 3,330 Crore Property Tax Dues In Pune: RTI Activist

Pune, 19th December 2022: There are 1,065 property owners in Pune city with arrears of more than Rs one crore, and the fact that they have arrears of as much as Rs 3,330 crores has come forward. The arrears amount is increasing due to the neglect of the collection of arrears by the Taxation and Tax Collection Department of the Pune Municipal Corporation (PMC).

Till two years ago, 4,74 defaulters in the city had arrears of Rs 1,218 crore. The non-governmental organizations (NGOs) of the city have asked the municipal commissioner; why the PMC is not trying to recover the big arrears.

Vivek Velankar, president of Sajag Nagarik Manch had sought information on properties with property tax arrears of more than Rs one crore from the PMC’s taxation and tax collection department.

He said, “There are 1,065 property owners with property tax arrears of more than Rs one crore in the city and now they have arrears of Rs 3,330 crore. 71 of these claims are pending in various courts. The Municipal Corporation has informed that Rs 737 crores are stuck in court claims and Rs 432 crores are stuck in debt claims. There are 660 claims of mobile towers and in them, there are arrears of Rs 1,419 crores. These cases are also pending in court.”

“It is necessary for the legal and property tax department of the municipal corporation to set up a special cell and try to get the results of all these claims at an early speed. Even if at least half of these claims are decided in favor of the municipal corporation, the PMC will get an income of Rs 1000 crore,” he added.

Velankar informed, “In the information of property holders given by the PMC, 105 claims are for double taxation and Rs 352 crores is expected to be recovered from it. Also, 108 cases have been shown as disputes due to which Rs 344 crores are stuck in it. Out of this, Rs 59 crores are due to the Defence Department and Rs 29 crores to the MSEDCL.”

“Apart from this, there is arrears of Rs 469 crore in other 121 cases. Out of which, the arrears of the water resources department is Rs 68.49 crores and its recovery needs to be done from the water tariff given to the water resources department by the municipality.”

Velankar has brought this matter to the attention of Commissioner Vikram Kumar, even though the head of the taxation department gave the letter to the head of the water supply department three years ago but yet no action has been taken.

“Many property owners have cases pending in court. There is a need for immediate recovery efforts from such owners. Efforts should be made for maximum recovery by focusing on these 1,065 cases. It is unforgivable to take away the 40 per cent rebate that millions of regular taxpayers get every year on the one hand and on the other hand to make negligible efforts to recover tax arrears from a handful of property owners who have a mountain of arrears,” said Velankar.