Over 200 Commercial Establishments Face Crackdown in Prayagraj for Unpaid Property Tax Dues

PMC readies strict recovery drive against 200+ commercial establishments and thousands of owners owing ₹40–50 crore in unpaid property tax across prime localities.

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Summary

  • The Prayagraj Municipal Corporation is launching a strict recovery drive against thousands of property tax defaulters, who collectively owe nearly ₹40–50 crore, including over 200 commercial establishments in prime city areas.
  • Officials have finalized a list of chronic defaulters and are prepared to enforce measures such as property attachment, sealing, or auctioning if dues are not cleared, with final notices set to be issued soon.
  • Persistent non-payment is hampering the city's ability to maintain essential civic services, prompting the PMC to also consider naming and shaming defaulters and running awareness campaigns to boost voluntary compliance.

The Prayagraj Municipal Corporation (PMC) is preparing to launch a strict recovery drive against thousands of property tax defaulters, including over 200 commercial establishments that have not paid their dues for years. Officials confirmed that these defaulters together owe nearly ₹40–50 crore, a significant gap that has persisted despite repeated notices and reminders from the civic body.

Several building owners, including hotels, restaurants, and educational institutions, have consistently failed to deposit any property tax. Many of these establishments are located in prime localities such as Civil Lines, Katra, George Town, Mumfordganj, Sulemsarai, Phaphamau, and Teliarganj. While some institutions have dues in the range of ₹2 lakh, others owe as much as ₹7–8 lakh. Despite benefitting from civic amenities and infrastructure, these property owners have neglected payments, forcing the PMC to draw up a plan for stricter enforcement.

Chief tax assessment officer of PMC, P. K. Mishra, stated that the corporation has finalized a list of such establishments and is prepared to begin enforcement. Measures could include the attachment of properties if dues are not cleared within the stipulated time frame.

For the current financial year, the PMC has set an ambitious target of collecting ₹150 crore in property tax. Out of this, over ₹54 crore has already been collected from around one lakh property owners across the city. However, the unpaid dues from the chronic defaulters remain a major challenge.

In Prayagraj’s 80 older wards, officials have identified approximately 2.36 lakh properties, while the additional 20 wards in the extended area account for another 1.79 lakh. Of these, around 45,000 properties are expected to contribute significantly to the tax base. Yet, consistent non-payment by a section of owners has slowed the pace of revenue mobilization.

Officials highlighted that unpaid property tax weakens the municipal corporation’s ability to maintain civic services, including sanitation, road repairs, street lighting, and water supply. With Prayagraj’s population and urban infrastructure expanding, the need for timely tax compliance has become critical. One official involved in the recovery planning said that defaulters continue to enjoy municipal facilities but fail to fulfill their obligations, leaving strong enforcement action as the only option.

The municipal corporation is set to issue final notices before moving to attach properties of chronic defaulters. This could involve sealing buildings, restricting the use of commercial premises, or auctioning attached properties to recover dues.

Authorities also indicated that naming and shaming measures may be considered to deter future defaults. At the same time, to encourage voluntary compliance, the PMC is working on awareness campaigns that explain how property tax revenues are directly linked to service delivery and urban development projects.


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