Hyderabad: ₹100 Crore Tax Evasion by 1 Lakh Property Owners


HYDERABAD: The financially struggling Greater Hyderabad Municipal Corporation (GHMC) has discovered over one lakh property owners who have collectively avoided paying over Rs 100 crore in taxes by undervaluing their properties for several years. This was revealed during a GIS-based survey conducted by the GHMC between August 2024 and December 2025, utilizing drone imagery and high-resolution mapping.

As part of the survey, over six lakh properties were assessed. The data indicated that most of the under-assessed properties are located in Serilingampally, Chandanagar, Moosapet, Kukatpally, and LB Nagar circles—areas characterized by rapid urban development, high-rise buildings, and increased commercial activity over recent years.

An official stated, “This mainly happened between 2020 and 2023 when the GHMC permitted self-assessment of properties and ceased issuing notices under Section 213 of the GHMC Act, 1955. This section mandates property owners to provide detailed information regarding their plinth area, usage, and sanctioned building plans for tax assessments.” The official added that this change led to many property owners not updating their information or disclosing changes to their properties.

Officials noted that many of these properties are commercial buildings or rental complexes with multiple tenants. While owners collected rent from several tenants, they only reported a few units for tax purposes. “In several instances, residential buildings were converted into commercial spaces without updating official records. Some owners obtained permissions for godowns but used them as retail outlets to incur lower taxes,” explained an official.

They suspect the number of defaulters may well exceed the current estimates.

“There are approximately 20 lakh properties within GHMC limits. While more than one lakh under-assessed properties were identified from six lakh verifications, this number is likely to increase as the city-wide survey continues,” remarked Anurag Jayanthi, additional commissioner (IT & revenue) at GHMC. He also mentioned, “We are issuing notices to defaulters asking them to settle their dues.”

Discrepancies

Civic officials noted that the discrepancies arisen from the GIS survey indicated a mismatch between approved building plans and the actual structures. Many buildings were found to have added residential floors without proper approvals or under-reported plinth areas. In some cases, owners declared large commercial buildings, often exceeding 10,000 sq. ft., as residential properties and paid taxes on just 3,000 to 3,500 sq. ft. “For properties that should pay between Rs 10,000 and Rs 15,000 annually, owners were only paying around Rs 5,000, leading to significant revenue loss,” an official from the taxation wing stated.

Power Data Integration

In a significant initiative, GHMC has integrated Property Tax Identification Number (PTIN) data with electricity service connections from TGSPDCL, enabling officials to cross-verify property usage and occupancy patterns. This integration has allowed for the identification of many under-assessed properties throughout Hyderabad. So far, 14,999 properties have undergone field verification, leading to an additional revenue collection of Rs 7.40 crore. Officials anticipate that ongoing verification will lead to a substantial increase in revenue recovery.

  • Published On Jan 28, 2026 at 07:06 AM IST

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