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PMC’s property tax revenue dips; activist flags recovery issue

Pune's property tax revenue fell to 2,030 crore in 2025-26 despite 40,000 more taxpayers, largely due to reliance on an amnesty scheme for defaulters.

Published on: Apr 2, 2026, 03:00:08 IST
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Despite an increase of around 40,000 taxpayers, the Pune Municipal Corporation’s (PMC) property tax revenue has declined in 2025–26 compared to the previous year, with a significant portion of collections coming through the amnesty scheme, official data shows.

The civic body had collected  ₹2,346 crore from 10.95 lakh taxpayers in 2024–25, indicating higher revenue. (FILE)
The civic body had collected ₹2,346 crore from 10.95 lakh taxpayers in 2024–25, indicating higher revenue. (FILE)

PMC collected a total of 2,985 crore in property tax in 2025–26 from 11.33 lakh taxpayers. However, 955 crore of this came through the amnesty scheme for defaulters, bringing the effective regular tax collection down to 2,030 crore.

In comparison, the civic body had collected 2,346 crore from 10.95 lakh taxpayers in 2024–25, indicating higher revenue.

Civic activist Vivek Velenkar said the trend points to structural issues in tax recovery. “Though PMC reported 2,985 crore in total collection, 955 crore came through the amnesty scheme. This means the actual yearly income is only 2,030 crore, which is lower than last year despite more taxpayers,” he said.

“The data clearly shows that while the number of taxpayers has increased, revenue has declined,” he added, pointing out that even in 2023–24, regular tax collections were higher.

Velenkar attributed the dip to the civic body’s reliance on periodic relief schemes. “The main reason is the amnesty scheme. Many citizens delay paying taxes and wait for such schemes instead of paying regularly,” he said. “There is a perception that PMC will eventually announce a waiver, so compliance during the year remains low.”

He also flagged administrative dependence on the scheme. “Instead of sustained recovery efforts through the year, the administration appears to rely heavily on amnesty drives,” he said.

Meanwhile, PMC standing committee chairman Shreenath Bhimale has set a property tax target of 3,800 crore for 2026–27. Velenkar said the target would require consistent recovery efforts. “The administration will have to ensure year-round pressure for tax recovery rather than depending on one-time schemes,” he said.