Madhya Pradesh High Court Directs Principal Secretary To Look Into Property Tax Hike Issue

Indore (Madhya Pradesh): Following a petition, Indore bench of Madhya Pradesh High Court directed the principal secretary (urban administration) to review the hike in property tax and take a decision after hearing all parties. A final order in the case is still awaited.

Hearing the petition filed by former Congress corporator Dilip Kaushal, Justice Pranay Verma issued the directives. Kaushal, through advocates Vibhor Khandelwal, had challenged the Indore Municipal Corporation’s move to increase property tax without granting citizens an opportunity to be heard. He argued that the proposal was ‘anti-people’ and sought its cancellation.

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According to Kaushal, the state government framed new rules for property tax collection in 2020, mandating that taxes be levied as per property valuations (guidelines) set by the collector. However, the IMC not only increased existing tax but also reduced the prescribed slabs of property tax, thereby imposing an additional burden on citizens.

‘The difference between Collector’s property guidelines and the corporation’s uniform rate-zone system has hit hundreds of colonies across the city,’ Kaushal said, pointing out that many households are now paying substantially higher taxes.