Dedicated locality research platform

Chandigarh Municipal Corporation to auction sealed commercial properties for pending tax dues

In the pursuit of recovering pending property tax dues, the Chandigarh Municipal Corporation (MC) is preparing to conduct auctions for commercial properties. These properties have been sealed and attached by the civic body due to outstanding tax dues that remain unsettled.

An MC official confirmed that this marks the first instance of the MC proceeding with property auctions to reclaim unpaid tax dues. The civic body reserves the authority to attach commercial properties in case of unpaid property taxes. Despite the sealing and attachment of these commercial properties, there are instances where tax obligations remain unmet. To address this, the MC has initiated the process of auctioning these properties.

Approximately 50 properties have been identified by the civic body for auction, encompassing various categories of commercial properties, such as shop-cum-offices (SCOs). The initial step involves identifying recently sealed properties along with those sealed previously. Subsequent to this, a physical assessment of these properties will be conducted to ascertain their current status.

In cases where sealed properties are found to be occupied contrary to regulations, the MC will take legal action against the violators. The official emphasised that in all such cases, First Information Reports (FIRs) will be filed. Additionally, the reserve price for these properties will be determined, and an auction notice will be issued. Defaulters are given an opportunity to settle their tax dues before the auction commences. If they fail to do so, the properties will proceed to auction.

The MC has incrementally intensified its efforts in the recovery drive. Initially, it issued recovery notices amounting to Rs 12.33 crore to 444 commercial properties, resulting in the clearance of dues for 25 properties worth approximately Rs 0.77 crore. Subsequently, attachment notices were dispatched to major defaulters.

In the recent month, the MC's property tax branch has issued 72 attachment notices, totalling around Rs 1.2 crore in property tax dues against delinquent commercial properties. Out of these, 26 properties have settled their tax dues amounting to Rs 0.34 crore. The official affirmed the continuous issuance of recovery and attachment notices against defaulters, maintaining a concerted effort to recover outstanding dues.

The MC remains committed to its pursuit of recovering pending property tax dues through various measures. As it continues its phased approach targeting defaulters, the civic body remains resolute in its endeavour to bring financial discipline and compliance among property owners regarding tax obligations.

© Propscience.com. All Rights Reserved.