GHAZIABAD: Mayor Sunita Dayal announced that the substantial property tax increase that sparked protests throughout the city will be reversed shortly. She reported that senior officials in Lucknow assured her that the proposed revised rates, which residents fear could raise taxes by three to four times in certain areas, would not be enforced.
A statement from the mayor’s office on Tuesday confirmed, “A decision has been made not to increase property taxes, allowing residents to continue under the existing tax structure.”
However, the mayor’s office has not issued any official documents validating the retraction of the new tax framework.
Officials from the Ghaziabad Municipal Corporation (GMC) stated they had not received any formal instructions to reverse the new tax rates. A senior official, who requested anonymity, indicated that the situation has not changed despite the mayor’s announcement.
“There have been no developments on this matter, and the situation remains unchanged,” the official noted, adding that municipal commissioner Vikramaditya Singh Malik is set to meet the principal secretary in Lucknow on Thursday to address the issue.
Meanwhile, residents throughout the city report significant increases in their property tax assessments under the revised structure.
Priti Jha, a resident of Gaur Siddhartham in Sidharth Vihar with a 965 square foot apartment, noted that her property tax nearly doubled. For the 2024-25 fiscal year, she stated her tax was assessed at Rs 3,667. After a penalty for late payment, she paid Rs 4,584. “This year, the tax for the same apartment was set at Rs 7,306,” she remarked, calling the rise “more than 90%.”
Indirapuram residents reported even steeper hikes in certain societies. Jitendra Kumar, who owns a 1,450 sqft flat in a Supertech apartment in Nyay Khand, said his previous year’s tax was Rs 4,838. “This year, I’ve received a tax notice exceeding Rs 15,000,” he said.
Commercial entities have also seen a considerable increase in their tax bills. Manoj Singh, who manages a departmental store in Vijay Nagar, remarked that the revision has greatly strained shop owners. “Previously, residential units in Vijay Nagar were taxed at a maximum rate of about Rs 3 per sqft, depending on road width, while commercial units were around Rs 15 per sqft,” he explained. “I used to pay approximately Rs 4,865 as property tax for my shop; now, it exceeds Rs 25,000.”
Beyond the increases, residents express ongoing confusion since the new tax framework was introduced in April 2025.
Last June, the GMC board repealed the tax hike proposal following protests, yet continued to issue tax assessments based on the new structure, creating further uncertainty for property owners. The matter also escalated to the courts when a group of three former councilors challenged the revised tax regime in the Allahabad High Court last May. In February this year, a bench led by Chief Justice Arun Bhansali dismissed the petition.
In the aftermath, the municipal board attempted to alleviate the impact of the increased rates. On March 7, the civic body announced a set of rebates for residents who segregate waste at the source, pay taxes promptly, reside in older buildings, or utilize online payment methods.
Civic officials defended the tax revision, claiming that property tax rates in Ghaziabad were among the lowest in the state prior to changes.
Officials noted that, following Lucknow and Kanpur, Ghaziabad and Agra are among the largest municipalities in Uttar Pradesh, each with 100 wards. Despite this, property tax rates in Ghaziabad previously ranged from Rs 1.6 to Rs 2.4 per sqft in 2024-25, significantly lower than comparable cities. To address this disparity, officials revised the rates to align them more closely with district circle rates, setting the new range between Rs 1.3 and Rs 4 per sqft.
They also highlighted that property tax is calculated at 24% of the annual rental value (ARV), in contrast to 31.5% in cities like Lucknow, Kanpur, and Varanasi, and 27.5% in Prayagraj.
Civic officials compared municipal taxes to maintenance charges levied by resident welfare associations (RWAs) and apartment owner associations (AOAs). “In many residential societies, annual maintenance charges range from Rs 23.5 to Rs 33.6 per sqft,” one official stated. “Even after the revision, municipal property tax averages around Rs 3.5 to Rs 4 per sqft annually.”
The official contended that the revised tax rates remain reasonable in light of the extensive civic services provided by the municipal corporation.
However, former councilor Himanshu Mittal, who was among the petitioners challenging the tax increase in court, argued that municipal authorities should not compare a government entity to an RWA. “A municipal corporation exists to provide civic services to citizens; it is not a profit-driven organization,” he stated.
Political figures have also weighed in on the heated debate. BJP councilor Om Prakash emphasized that decisions made collectively by elected representatives deserve respect. “We are accountable to the residents who elected us,” he stated. “For the greater public good, property taxes should be lowered.”
Opposition leaders have criticized the ruling party for failing to address the issue comprehensively. Faisal Husain of the Samajwadi Party remarked that he had written to the chief minister requesting a complete reversal of the revised property tax structure.
