The ongoing property tax revision and recovery drive conducted by the Greater Hyderabad Municipal Corporation (GHMC) has triggered a wave of public anger as residents and commercial property owners allege harassment, arbitrary tax hikes and extortion attempts by field staff and unofficial middlemen.
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What began as a large-scale tax correction exercise has now grown into a citywide controversy, with citizens claiming the drive has created a climate of fear, confusion and corruption across multiple GHMC circles.
GHMC’s Official Plan: Large-Scale Reassessment and Revenue Boost
The GHMC’s intensified property tax programme for 2024–25 is built on three pillars:
- GIS-based reassessment of properties
- Special inspections targeting commercial and non-residential buildings
- A combined carrot-and-stick policy using waivers, penalties and legal notices
Also Read: Hyderabad Set to Become India’s Largest City as GHMC Expands to 2,735 Sq Km
Major steps taken in the official drive include:
- A special inspection campaign launched in October 2025
- Tax revision checks starting with 300+ malls, followed by hospitals, hotels, schools, fuel stations, bars, factories, banks, warehouses and hostels
- GIS survey identifying 12% properties with mismatches
- 80,000+ legal notices issued demanding dues exceeding ₹1,200 crore
- Threat of penalties, disconnection, and property seizure for non-payment
Officials say the reassessment is needed to raise revenue for major civic projects like Musi Riverfront development and colony road strengthening, projecting an annual gain of ₹100 crore from revised assessments.
Residents Claim Harassment, Sudden Hikes and Tax Errors
Despite the official justification, many property owners—especially in Ameerpet, Chikkadpally, Secunderabad, Kukatpally and parts of LB Nagar—report a very different experience.
Common complaints include:
- Huge, unexplained sudden tax hikes
- Errors in built-up area calculations
- Assessments conducted without entering the property
- Pressure to pay immediately
- Unclear bills combining arrears, interest and revised tax
One case that went viral involved a resident whose annual tax jumped from ₹1,700 to ₹37,000, later admitted as an “error” by GHMC staff.
Another recurring allegation is that some field officials conduct “rough estimates” for locked houses just to meet internal targets.
Extortion Allegations and Fear of Retaliation
Multiple residents claim GHMC field staff or self-appointed agents approach them soon after notices are issued, offering to “reduce the revised amount” in exchange for a cash settlement.
Some citizen groups refer to this as a “tax shakedown climate”, where fear of GIS-based back billing and penalty notices is allegedly being used to extract illegal payments.
Key allegations circulating include:
- Offers to “settle” assessments off the record
- Threats of “stricter revision” if owners’ refuse
- Middlemen claiming links with GHMC insiders
- Staff clubbing arrears + penalties + revised tax to create panic
Despite this, GHMC officials say no formal complaints have been filed residents argue they fear retaliation or further harassment if they complain openly.
Corruption History Adds to Public Distrust
The complaints come at a time when GHMC’s credibility has already been damaged by earlier corruption cases:
- Historically, over 200 GHMC officials have been named in vigilance/ACB cases related to tax collection irregularities
- In June 2025, ACB exposed a GHMC engineer accused of clearing ₹400 crore worth of works through bribe-linked approvals
- Past ACB cases include property tax collectors caught taking cash bribes
Activists say this background makes the current drive more vulnerable to misuse, especially when large discretion is left in the hands of field staff.
Online Chatter and Lesser-Known Angles
Digital platforms in Hyderabad are filled with discussions and warnings related to the drive:
1. Interest Waiver Being Used as Pressure
A 90% waiver on interest arrears is being widely shared, but residents claim it is being used to push owners into immediate bulk payment.
2. Slow Grievance Redressal
Property owners say GHMC’s online grievance portal is difficult to navigate, delays are common, and middlemen exploit this confusion.
3. RWAs Moving Toward Collective Action
Some Resident Welfare Associations are exploring:
- Hiring independent valuers
- Filing RTIs
- Considering PILs for transparency in reassessment
- Demanding third-party audits of GIS data
Tax Reforms Overshadowed by Fear and Distrust
The GHMC’s goal of correcting property tax discrepancies may be well-intentioned, but public outrage is growing as allegations of extortion, arbitrary hikes, and opaque reassessment methods dominate public discussion.
If concerns are not addressed with transparent calculations, public consultations and independent oversight, the property tax revision drive risks losing credibility and deepening citizen mistrust.
Munsif News 24×7 will continue tracking developments around the GHMC property tax controversy and its impact on citizens across Greater Hyderabad.
