Ahmedabad Municipal Corporation to Auction 22 Commercial Properties to Recover Rs 2.26 Crore in Unpaid Property Taxes

The Ahmedabad Municipal Corporation (AMC) has announced the upcoming auction of 22 commercial properties in the city's western zone to recover a total of Rs 2.26 crore in outstanding property taxes. These properties are located in some of the city’s prime commercial areas, including Navrangpura near the Stadium, Ashram Road, CG Road, and Mitakhali. Despite repeated reminders and notices from the AMC, the owners of these properties have failed to clear their dues, leading the civic body to take stringent action.

 Tax Recovery Measures Intensified

This decision comes as part of AMC’s ongoing efforts to tackle the rising backlog of unpaid taxes, particularly from commercial properties. During a recent review meeting, Municipal Commissioner M. Thennarasan expressed concern over the growing number of overdue taxes and the financial strain it has put on the city’s resources. He emphasized the importance of enforcing strict measures, including property seizures, auctions, and the issuance of encumbrance notes, to ensure that the tax collection process remains effective and timely.

In line with these directives, AMC's tax department has ramped up efforts to recover unpaid property taxes. Since the beginning of the financial year, tax officials have been conducting regular campaigns to seal properties and auction those with substantial arrears.

 A Long-Standing Issue with Commercial Property Owners

According to sources within the AMC, many of the property owners have been neglecting their tax payments for several years, resulting in huge arrears. The municipal corporation's tax department has issued several reminders and notices, urging the property owners to settle their outstanding bills, but many owners have either ignored these requests or failed to take necessary actions to resolve the issue.

Property owners also have the option to raise objections to the tax assessments or bills, but a significant number of them have not utilized this provision, even though it remains available. Instead, many property owners have continued to avoid paying taxes without any valid justification. This lack of responsiveness has forced the AMC to take the final step of seizing the properties and putting them up for auction.

 The Final Warning

As per the latest communication from the West Zone Tax Department, the owners of the 22 properties have been issued a final warning. The department has informed them that their properties will be seized and auctioned if the outstanding taxes, amounting to Rs 2.26 crore, are not paid within the specified time frame.

The move to auction these properties is seen as a necessary step to recover the dues and prevent further loss of revenue for the city. The AMC has made it clear that these properties will be sold to the highest bidder in the upcoming auction, unless the owners settle their dues before the scheduled date.

 Impact on the Local Economy

The failure of property owners to pay taxes not only affects the municipal corporation’s revenue but also delays the city's development plans and essential services funded by these tax collections. Given the prominent locations of the properties in question, their auction is likely to draw significant attention from investors and potential buyers.

These actions by the AMC serve as a stern reminder to all property owners about the importance of meeting their tax obligations and the serious consequences of failing to do so. The auction of these 22 commercial properties will be closely monitored, and it is expected that the sale proceeds will help mitigate the tax revenue shortfall.

 Next Steps for Property Owners

For property owners still facing substantial tax dues, AMC urges them to take immediate action by either settling their outstanding taxes or formally disputing their tax assessments if they believe the amount is incorrect. The AMC website provides detailed information on the tax payment process and how owners can raise objections if they choose to contest their tax bills.

As the auction date draws near, the Ahmedabad Municipal Corporation continues to push for efficient tax collection to ensure that the city's development projects and services are adequately funded.