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Thane civic body falls short of property tax target, intensifies action against defaulters

#Taxation & Finance News#Residential#India#Maharashtra#Thane
Last Updated : 10th Feb, 2026
Synopsis

The Thane Municipal Corporation has collected INR 556.19 crore in property tax so far in the current financial year, missing its INR 841 crore target by over INR 280 crore. Ward-level data shows Majiwada Manpada as the highest contributor, followed by Vartak Nagar and Naupada Kopri. To address the gap, the civic body has stepped up recovery measures, including water supply disconnections for residential defaulters and attachment of non-residential properties, while also planning payment camps in housing societies to improve compliance.

The Thane Municipal Corporation (TMC) has reported property tax collections of INR 556.19 crore in the ongoing financial year, well below its projected target of INR 841 crore. The shortfall of more than INR 280 crore has prompted the civic administration to tighten enforcement measures against property owners with pending dues.


Data shared by the corporation shows uneven tax collection across wards. The Majiwada Manpada ward recorded the highest collection at around INR 175 crore. This was followed by Vartak Nagar with about INR 88.7 crore and Naupada Kopri with approximately INR 74.1 crore. Other wards reported comparatively lower collections, contributing to the overall gap in revenue.

During a recent review meeting, Municipal Commissioner Saurabh Rao directed officials to take stricter action against defaulters. As part of the recovery drive, the civic body has begun disconnecting water supply to residential properties that have failed to clear tax dues despite repeated notices. In the case of commercial and other non-residential properties, the corporation has initiated steps such as attachment and seizure to ensure recovery.

Officials said these actions are being taken to improve compliance before the financial year closes, as property tax remains a key source of income for funding civic services and infrastructure maintenance. In addition to enforcement, the corporation is also planning to organise special property tax payment camps in large housing societies to make it easier for residents to clear outstanding amounts.

In previous years, TMC has relied on a mix of penalties, incentives, and doorstep collection drives to boost revenue, especially toward the year-end. However, officials indicated that delayed payments and persistent defaults continue to affect collections, making stronger action unavoidable this year.

Source PTI



FAQ

Q1. How much property tax has the Thane Municipal Corporation collected so far this year?

The Thane Municipal Corporation has collected INR 556.19 crore in property tax during the current financial year. This figure is significantly lower than the civic body's target of INR 841 crore, leaving a shortfall of more than INR 280 crore. The gap has raised concerns within the administration, as property tax is one of the main revenue sources used to fund essential civic services and infrastructure projects across the city.

Q2. Which wards have contributed the most to property tax collections?

Ward-level data shows that collections have been uneven across Thane. The Majiwada Manpada ward emerged as the highest contributor, with collections of around INR 175 crore. This was followed by Vartak Nagar, which collected approximately INR 88.7 crore, and Naupada Kopri, with about INR 74.1 crore. Other wards have reported lower figures, which has contributed to the overall revenue shortfall.

Q3. Why has the civic body fallen short of its property tax target?

Officials have attributed the shortfall to delayed payments and persistent defaults by property owners, despite multiple reminders. While some taxpayers tend to delay payments until the end of the financial year, a section of defaulters has continued to avoid clearing dues. This pattern has affected timely revenue inflows, forcing the corporation to adopt stronger recovery measures to meet its financial commitments.

Q4. What action is TMC taking against residential property tax defaulters?

The civic administration has started disconnecting water supply to residential properties that have not paid their outstanding property tax despite repeated notices. This step is being used as a deterrent to encourage compliance and prompt payment. Officials said such measures are necessary to ensure fairness, as continued defaults place an additional burden on compliant taxpayers.

Q5. How is TMC dealing with non-residential and commercial defaulters?

For commercial and other non-residential properties, the corporation has initiated stricter recovery actions such as attachment and seizure of properties. These steps are aimed at ensuring that large defaulters clear their dues promptly. The civic body has indicated that such enforcement will continue until there is a visible improvement in collections.

Q6. Is the corporation taking any steps to make it easier for citizens to pay property tax?

Alongside enforcement, TMC is planning to organise special property tax payment camps in large housing societies. These camps are intended to make the payment process more convenient for residents and encourage voluntary compliance. In the past, the corporation has used a mix of incentives, penalties, and doorstep collection drives, but officials say stronger action is unavoidable this year due to continued delays and defaults.

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