SURAT: Residents of Pragya Nagar in the City Light area have been advised by Surat Municipal Corporation officials that they will not have to pay property tax for the demolished colony. This follows the issuance of tax bills for 2025-26, despite the colony being razed in 2025. The Times of India (TOI) had highlighted this issue, prompting action from the municipal body.
The situation surfaced when residents of approximately 700 homes expressed concerns about receiving tax bills despite having evacuation notices in 2024 and demolition occurring in 2025. On Thursday, residents found that the online portal indicated no pending dues.
SMC officials confirmed that property owners would not be taxed as the colony no longer exists. “Some of us checked online for our dues, and it shows nothing is pending now. We’ve been informed that we won’t be charged property tax, and we hope the development of our new homes progresses quickly,” stated Anil Lonari, a resident.
Another resident, Himanshu Patel, added, “This will ease the financial burden for my family as we are paying rent after our homes were demolished. Many families will benefit from this decision.”
A SMC official remarked, “No property taxes will be levied on Pragya Nagar residents since the colony has been demolished. The process to stop the property tax charges has now been finalized.”
Pragya Nagar served as a housing colony for economically weaker sections, comprising 44 apartment blocks with 16 flats each, housing around 3,000 residents prior to demolition. Many families have since relocated to rented spaces.
Residents voiced their frustration over the lack of financial support for rent during the redevelopment process, which has yet to commence. The flats were originally purchased under a government-subsidized scheme for low-income families, built nearly twenty years ago and ultimately demolished due to their dilapidated condition.
Additionally, residents highlighted ongoing charges related to the demolished colony, noting that water fees were still being charged for 15 out of the 44 buildings. Typically, in redevelopment scenarios, developers pay rent to displaced homeowners until new properties are constructed. However, Pragya Nagar residents reported that they are not receiving any rental assistance or clear information about when redevelopment will begin or when they can return to their new homes.
