HYDERABAD: The GHMC has turned a blind eye to over property tax on 1.5 lakh unauthorised structures built on private, government, endowment and Wakf land which could have brought it high revenues, but collected tax from 5.4 lakh properties, although at a reduced rate — Rs 101 down from Rs 1,200.
Sources said that the corporation was sparing one lakh-odd affluent people and going after ordinary citizens.
The state government had, as a poll promise during GHMC elections, reduced property tax of defaulters who are paying property tax up to Rs 1,200 to Rs 101. Immediately after the elections, the civic body embarked on a mission for re-assessment of property tax. It collected tax of Rs 75 crore from the 5.4 lakh properties.
A senior GHMC official said that the government’s decision to reduce property tax resulted in an annual loss of Rs 89 crore to the corporation. However, an official said that after re-assessment programme the civic body managed to bring 2.5 lakh properties under the tax net. GHMC also enhanced its property tax collections from 1,879 non-residential properties, which pay tax above Rs 1 lakh which brought annual revenue of Rs 20.08 crore into the coffers.
