The Small Causes Court Hyderabad criticized the Greater Hyderabad Municipal Corporation for failing to follow due procedure in a property tax assessment case, directing municipal officials to strictly comply with statutory requirements before issuing or finalizing tax demands.
HYDERABAD: The Small Causes Court in Hyderabad has criticized the Greater Hyderabad Municipal Corporation (GHMC) for not following proper procedures in a property tax assessment case.
The court instructed municipal officials to adhere strictly to statutory requirements before finalizing tax demands.
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In response to a petition from Shailesh Gupta, a Kachiguda resident, the court noted that the GHMC must comply with Sections 220–223 of the applicable municipal law when revising property tax rates. The court mandated that the civic body issue a proper notice, invite objections from the property owner, hold a hearing, and complete the entire process within three months.
It reiterated that paying property tax is a civic duty and that a taxpayer cannot entirely evade responsibility due to procedural shortcomings.
According to Gupta, he received a text message on September 30, 2024, indicating that Rs 1,07,154 was owed in property tax arrears for his building in Kachiguda. The message reportedly stated that dues and interest had been unpaid for several years.
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Gupta claimed that the building is in a dilapidated state and that the tax was initially set at Rs 445, which was revised in 2012–13 without any prior notice to him. Alleging a breach of due process, he approached the court for a remedy.
While acknowledging the procedural shortcomings of the GHMC, the court ruled that such deficiencies do not automatically grant the petitioner full exemption from the tax owed. The court directed Gupta to pay 30% of the disputed amount into the GHMC account within one month, pending the conclusion of the reassessment process.
This ruling highlights the necessity for municipal authorities to rigorously adhere to legal procedures in tax assessments, while also reaffirming citizens’ duty to pay property taxes.
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