HYDERABAD: Property owners in the Secunderabad Cantonment Board (SCB) are facing more than a double increase in their property tax due to a recent revision that has raised the rates by over 100%.
Typically, property tax adjustments are made by cantonment boards every three years. While some increase is common, residents are concerned that this latest adjustment is unprecedented. Previous hikes have rarely exceeded 30%, exacerbated by fears of losing their properties and tenants due to the anticipated road widening and elevated corridor project.
“Notices about the tax increase started arriving three to four months ago, especially for properties along the main road set to be affected by the project. We are currently facing tenants leaving our properties and negotiating for lower rent because of uncertainty surrounding the project, which is vital for our income. With an increased tax burden, it’s becoming incredibly difficult to cope,” stated Praveen Rao, a property owner from Vikrampuri.
In response, SCB officials assert that the property tax increase is in accordance with cantonment byelaws. “The regulations indicate that property tax should be aligned with the annual rental value of each property, a practice we haven’t adhered to consistently. Given our pressing need for funds, we have enacted this adjustment, reflecting the current financial situation,” explained Madhukar Naik, CEO of the SCB.
Local residents recently submitted a petition to the CEO, urging the board to reconsider the tax increase. “The situation is so unclear that property owners don’t know if their properties will be affected by the project. We urge the cantonment board to ease the property taxes until the confusion is resolved,” stated Telukunta Satish Gupta, chairman of the Rajiv Rahadari Property Owners Joint Action Committee.
