NAGPUR: While the civic authority is contemplating a 10% increase in property tax to enhance revenue, the Nagpur Municipal Corporation faces significant challenges in collecting dues from central and state government departments, which collectively owe over Rs145 crore in unpaid property tax. Out of the revised target of Rs325 crore for the current fiscal year, the municipality has thus far collected Rs215 crore, leaving approximately Rs110 crore outstanding.
Despite enforcing strict penalties and initiating attachment actions against individual taxpayers, several government offices have continued to delay payments for years. This poor recovery has necessitated additional resources for the civic body and led to a considerable revenue shortfall.
Following instructions from Municipal Commissioner Vipin Itankar, the property tax department has dispatched demi-official (DO) letters to various government departments, urging them to settle their dues promptly.
With only days remaining before the financial year concludes on March 31, officials are intensifying efforts to reach the target, but recovering funds from government departments remains a significant obstacle. The target was adjusted downwards in the revised budget presented by Itankar, as the previous municipal commissioner, Abhijeet Chaudhari, had set an initial target of Rs350 crore for the year.
According to official records, 358 government properties within the city owe the NMC a total of Rs145.14 crore in property tax. Of these, 270 belong to state government departments, totaling Rs131.19 crore in unpaid tax, while 88 central government properties account for Rs13.94 crore in outstanding dues.
Among the major defaulters from the central government is BSNL, whose office buildings and staff quarters in areas such as Khalasi Line, Khamla, Nandanvan, and Sakkardara collectively owe several lakhs in property tax. On the state government side, substantial dues are owed from the divisional sports complex in Mankapur, the police training center at Surendra Nagar, hostels associated with the facility, the state crime branch office in Jafar Nagar, and the Government College of Fine Arts.
NMC Deputy Commissioner (Revenue) Milind Meshram stated that DO letters have been sent to all relevant government departments, and meetings have been conducted to negotiate the payment of dues. “Officials from various departments have assured the civic body that the pending taxes will be cleared once funds are allocated in the budget,” he added, noting that the NMC has already recouped approximately Rs12 crore from government departments.
Property tax dues:
Total outstanding (Central + State): Rs145.14 crore
Total properties: 358
Major central government defaulters:
- BSNL office building, Khalasi Line – Rs1.29 crore
- BSNL office building – Rs12.63 lakh
- Assistant GM, Telecom Dept – Rs10.15 lakh
- Telecom Dept office, Khamla – Rs16.02 lakh
- Telecom Dept office, Nandanvan – Rs15.39 lakh
- Telecom Dept office, Sakkardara – Rs33.28 lakh
- Telecom Dept staff quarters, Sakkardara – Rs65.60 lakh
Major state government defaulters:
- Divisional Sports Complex, Mankapur – Rs6.55 crore
- Sports complex boys & girls hostels, Mankapur – Rs37.72 lakh
- Regional Provident Fund office – Rs13.31 lakh
- Police Training Centre, Surendra Nagar (Rani Laxmibai hostel) – Rs2.08 crore
- Police Training Centre, Surendra Nagar (two other hostels) – Rs2.71 crore
- Police Training Centre, Surendra Nagar (Rani Durgavati hostel) – Rs1.35 crore
- State CID office, Jafar Nagar – Rs38.29 lakh
- Government College of Fine Arts – Rs17.05 lakh
Department-wise pending tax:
| Department | No. of properties | Current dues | Arrears | Total |
|---|---|---|---|---|
| State government | 270 | Rs7.60 crore | Rs101.30 crore | Rs131.19 crore |
| Central government | 88 | Rs3.24 crore | Rs8.28 crore | Rs13.94 crore |
