Pune: PMC Plans 10% Property Tax Hike Amid Opposition From Citizens & Activists; Standing Committee To Decide On February 6

The Pune Municipal Corporation (PMC) has proposed a 10 per cent hike in property tax to boost revenue, and the Standing Committee will take a call on this at a meeting soon, civic officials said. Currently, the Standing Committee consists only of civic officials, as the new general body of elected corporators has not yet been formed. Citizens and activists have raised criticism and are opposing the move.

Vivek Velankar, an activist, said, “PMC has property tax dues of ₹7,737 crore from just 1,667 property owners, including around ₹355 crore from various government and semi-government departments. Instead of making all efforts to recover these dues, the PMC administration is shamelessly trying to increase property tax on citizens who are paying taxes without any default.”

Mukund Kirdat of the Aam Aadmi Party (AAP) said, “PMC had projected ₹2,800 crore in property tax collection for 2025-26 but has collected only ₹2,200 crore. Much of the pending amount is due from large property holders, with nearly ₹7,000 crore stuck for various reasons and delayed in courts. It is unfair to burden common citizens without first recovering these dues. Taxes are also not being collected from several commercial establishments on open plots. Importantly, the BJP had promised in its manifesto a full property tax exemption for properties up to 500 sq ft. Pune residents must now be given this relief.”

“PMC neither maintains roads and footpaths in good condition nor keeps the city clean and garbage-free. All bridges in the city -- Mhatre Bridge, SM Joshi Bridge, Bal Gandharva Bridge, Nava Pul, Mangala Talkies Bridge, among others -- are in a very dirty and unhygienic condition. Water supply hours are also very odd and short. In short, the facilities provided against the collection of revenue are very poor and not given any priority. A majority of footpaths and roads are occupied by food vendors. Considering these issues, it is not justifiable to raise property tax,” said Mukund Vitthal Bakre, an advocate.

Manhas Ranglekar, a resident of Sinhagad Road, said, “We have been paying property taxes to PMC for many years, but we do not get basic facilities. We face water cuts every other day. Garbage collection is pathetic, roads are in poor condition, and there are no proper parks for senior citizens to walk or for children to play. Taxpayers’ money is used to conduct mega cycling events, and roads are repaired when delegations visit India, but when it comes to providing facilities to residents, there is utter ignorance. Now, instead of improving facilities, they are planning to increase taxes. This is not at all welcome, and we oppose it.”

“PMC’s idea of revenue reform is not about fixing inefficiencies or improving services; it is simply about hiking property taxes and squeezing honest citizens. Punishing taxpayers without audit, accountability, or public consultation is not governance; it is administrative failure,” said activist Vijay Kumbhar.

Meanwhile, Ravi Pawar, Deputy Commissioner (Taxation and Tax Collection Department), Pune, told The Free Press Journal, “We have proposed a 10 per cent increase in property tax, which is comparatively low, as inflation has reached 57 per cent since 2016 and there has been no increase in property tax during this period. Considering the current market conditions, a 10 per cent increase is minimal. However, it will be finalised only after the Standing Committee approves the proposal on February 6.”