Amid uproar against property tax, Chandigarh mayor, BJP councillors threaten to quit

Opposition parties Congress, AAP slam saffron fold for flip-flop after itself proposing the hike in Chandigarh MC House

Under mounting public pressure over the steep increase in property tax, the Chandigarh unit of the Bharatiya Janata Party (BJP) on Tuesday took a dramatic stand, announcing that mayor Harpreet Kaur Babla and all BJP councillors will resign on Wednesday (April 16) if the UT administration fails to roll back the hike and commit to releasing additional funds for the cash-strapped municipal corporation.

Condemning the move, Congress president HS Lucky remarked whether it was by increasing the collector rates, levying a 5% water cess, or now, by tripling the property tax, the BJP was showing complete disregard for the struggles of ordinary families. (File)

In an emergency party meeting, BJP city president Jatinder Malhotra slammed the UT administration for bypassing the elected city representatives. “This unprecedented hike has been imposed without any consultation with or approval from the elected representatives or the MC House,” he said.

“The officers must roll back this anti-people move and release funds urgently. Otherwise, all BJP and nominated councillors, including the mayor, will resign,” he announced.

The Congress and Aam Aadmi Party (AAP) swiftly condemned BJP’s move, accusing the party of flip-flop after public outcry against the sharp tax hike.

Congress president HS Lucky remarked, “This is another jumla of the BJP. If they really had to take a stand, they would have resigned by now. It’s mere eyewash and a last-ditch effort to save face. The BJP mayor had herself proposed a 2% hike in property tax. The BJP has made it a habit of squeezing the pockets of people. The administration is also hand-in-glove with the party.”

“The BJP is shedding crocodile tears. It has done nothing for the city’s development in the past 10 years and is now trying to cover up its failures. This is just an attempt to mislead the innocent voters of Chandigarh once again,” said JD Ghai, state treasurer, Chandigarh AAP.

On March 31, the UT administration had tripled the residential property tax—from 3% to 9% of the annual rateable value (ARV)—while commercial and industrial property taxes were doubled to 6%.

The move came at a time when residents are already grappling with higher collector rates, garbage charges, water tariffs and electricity tax.

The announcement triggered widespread condemnation from residents’ welfare associations, trader bodies, Opposition parties—Congress and AAP, and even BJP’s own councillors.

As per BJP insiders, the hike was decided solely by the UT administration’s officers, without any discussion with elected representatives or even UT administrator Gulab Chand Kataria.

“The increasing percentage was not even discussed with the governor. The governor has been out of town since the notification. Once he returns on Wednesday, we will tender our resignations in protest against this bureaucratic overreach,” a senior BJP functionary said, adding that complaints against chief secretary Rajeev Verma had also been made to the central government.

Mayor Harpreet Kaur Babla has written multiple letters to the chief secretary, contending that “taking such a major decision unilaterally undermines the democratic process and the authority of the elected representatives”.

She added that the Chandigarh administration had not been providing sufficient funds to MC as per its actual requirements. Under these circumstances, any additional burden on the public in the form of increased taxes was not only unfair but also insensitive.

Hike was rejected by MC House

Ironically, the same BJP-led MC had initially proposed an even steeper hike in a desperate bid to generate revenue. Plagued by a debilitating fiscal crisis, which has halted development works and delayed staff salaries, and no special assistance from the UT administration, MC had in February this year sought to raise property tax across all categories by four times, which could have boosted its annual revenue by around ₹200 crore.

The proposal was vociferously shot down by all councillors, cutting across party lines. Despite the political opposition, MC commissioner Amit Kumar had defended the proposal in a dissent note marked to UT, calling it the “need of the hour” to address the civic body’s financial distress. Once the agenda is rejected with a dissent note, and even otherwise, UT can exercise its power and take a decision.

On March 31, the UT administration, while not accepting the proposal as is, approved an up to three-fold hike.