Pune: PCMC Initiates Auction of Seized Properties: Owners Urged to Clear Arrears Promptly
Varad Bhatkhande
Pimpri Chinchwad, 10th March 2024: The Taxation and Tax Collection Department of Pimpri Chinchwad Municipal Corporation (PCMC) has initiated the auction process for seized properties, with the list of such properties being published in newspapers. All sealed properties are slated for auction, prompting an appeal from the department to property owners to settle arrears promptly to avoid confiscation. It is noteworthy that the Taxation and Tax Collection Department has already surpassed the income threshold from the previous year.
With 6 lakh 15 thousand registered properties in Pimpri-Chinchwad city and an additional discovery of unregistered properties during the survey, the Taxation and Tax Collection Department achieved a historic milestone last year by collecting Rs 814 crore in taxes. In the ongoing financial year 2023-24, the PCMC treasury has accumulated a substantial Rs 818 crores in taxes. Despite this achievement, Assistant Commissioner Nilesh Deshmukh and his team are striving to reach the ambitious target of Rs 1 thousand crore. Their efforts underscore a commitment to enhancing revenue collection and addressing the diverse property landscape in the city.
The Taxation and Tax Collection Department, on behalf of PCMC, has initiated stringent measures such as property confiscation, sealing, and tap disconnection this year to address the significant tax arrears issue. Property owners with arrears exceeding Rs 1 lakh in the city collectively owe Rs 682 crore. In response, the department has taken assertive actions, including auctions, to recover taxes from these defaulters.
To further enhance the recovery process, the department is publishing the names of defaulters with arrears exceeding Rs 50 thousand in newspapers. This strategy has proven effective, as statistics indicate that defaulters tend to settle their tax arrears promptly upon the publication of their names.
The department has issued seizure warrants to 32 thousand 140 outstanding individuals, executing 7 thousand 311 warrants. Of these, 5 thousand 52 individuals have paid a total of Rs 68 crore 94 lakh. Additionally, 1 thousand 491 outstanding property holders have been served notices of property attachment, resulting in the sealing of 184 properties. Drastic action has also been taken to disconnect the water supply to 584 property owners.
Despite the department’s commendable efforts, there remains a challenge to collect Rs 182 crore in revenue within the next 22 days. The Taxation and Tax Collection Department, being a crucial income source for PCMC, is striving to achieve its target of Rs 1,000 crore for the current financial year, having already earned Rs 817 crore. The upcoming weeks pose a substantial challenge, but the department is dedicated to maximizing income and meeting its ambitious revenue goals.
PCMC Additional Commissioner Pradeep Jambhale Patil stated, “This marks the initiation of the auction process for seized properties in PCMC, a first-time implementation. The first phase will witness the auction of thirteen properties, and we plan to carry out a phased auction for seized properties with outstanding taxes throughout the year. Property owners are urged to promptly clear their due taxes to avert any adverse actions, such as the sale of their properties.”
Assistant Commissioner of Taxation and Tax Collection Department, Nilesh Deshmukh, highlighted, “Out of the pending property tax amounting to Rs 682 crore, over Rs 500 crore is attributed to residential properties. As part of the final recovery phase, there is a substantial focus on seizing residential properties, particularly targeting owners who possess the financial capability but fail to fulfil their tax obligations. Property owners facing financial difficulties are granted the option to settle their taxes in a phased manner.”
