Greater Hyderabad Municipal Corporation (GHMC) has taken a stringent step against property tax defaulters. The civic body seized the Taj Banjara, a star hotel located in the upscale Banjara Hills, due to non-payment of property tax. This action was taken on Friday, February 21, as per the information provided by the GHMC officials.
The Taj Banjara, a prominent landmark in the city, had been under the scanner for its failure to clear property tax dues amounting to Rs 1.43 crore. Despite several notices and even the issuance of a 'Red notice', the hotel management did not respond with the necessary payments. This led the GHMC to take the drastic step of seizing the building located on Road Number 3, Banjara Hills.
The hotel management, according to GHMC officials, had not paid the property tax for two years. This non-compliance with the civic body's regulations led to the seizure. However, following the GHMC's action, the hotel management conveyed that the dues would be cleared by the end of the day.
The GHMC has been facing a significant challenge in collecting property tax from defaulters. The civic body has to collect property tax dues of a whopping Rs 9,800 crore from property owners within its limits. For the current financial year, the GHMC has set a target of Rs. 2,200 crore property tax, and the collections till the previous month were Rs. 1,400 crore.
The GHMC officials have made it clear that they will not hesitate to seize properties to recover the dues. This action against the Taj Banjara is a clear indication of the GHMC's resolve to act tough against defaulters. Out of 23 lakh buildings in GHMC limits, the owners of only 12 lakh pay property tax promptly. During the previous financial year, the GHMC collected Rs.320 crore property tax from 1.08 lakh buildings.
In light of these circumstances, GHMC Commissioner K. Ilambarithi has directed the officials to take all necessary measures to recover property tax dues. As part of these efforts, the GHMC is planning to once again implement the One Time Settlement (OTS) scheme. This scheme is aimed at encouraging property owners to clear their dues and avoid punitive actions like property seizure.
In addition to this, the GHMC has announced that it will conduct 'Property Tax Parishkaram' every Saturday between February 22 and March 29 at all its circle offices. This grievance redressal programme, to be held between 10 a.m. and 1 p.m., is designed to address a range of issues such as tax issues, revision petitions, corrections in property tax assessments, payments via bill collectors/RTGS, clearing online arrears, court case resolutions, IGRS issues, self-assessment, and other tax-related matters.
This is not the first time that a prominent establishment has faced action over non-payment of taxes. In the past, similar actions have been taken against other establishments, reinforcing the fact that the civic bodies are serious about tax collection and will not hesitate to take stringent measures against defaulters.
