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The Rajkot Municipal Corporation narrowly missed its property tax collection target for FY 2025-26, collecting INR 447.93 crore against a target of INR 455.8 crore. Despite the shortfall, collections grew by 8.44 per cent compared to the previous year, supported by better recovery efforts and increased digital payments. However, tax compliance remained a concern, with nearly one-fourth of property owners not clearing dues. The civic body also continued enforcement actions, including property sealing, to improve recovery levels.
The Rajkot Municipal Corporation did not fully meet its property tax collection target for the financial year 2025-26. The civic body collected INR 447.93 crore against a target of INR 455.8 crore, resulting in a shortfall of INR 7.87 crore. Advertisement
Even with the gap, overall collections showed steady improvement compared to the previous year. The corporation recorded an increase of 8.44 per cent in property tax revenue, adding approximately INR 34.44 crore more than last year. This reflects gradual strengthening in recovery efforts and better participation from taxpayers.
Out of a total of 6,10,931 registered properties in the city, tax payments were received from 4,63,564 properties. This translates to a compliance level of around 75.75 per cent, while nearly 25 per cent of property owners did not pay their dues. Pending payments continue to remain a key concern for the civic body despite repeated notices and follow-ups.
Zone-wise performance showed variation in collections across the city. The West Zone contributed the highest revenue at INR 189.65 crore, followed by the Central Zone with INR 161.80 crore. The East Zone recorded collections of INR 95.79 crore, indicating relatively lower recovery in that region.
In terms of property categories, non-residential properties contributed more to the total collection than residential units. Commercial properties generated INR 242.34 crore, while residential properties accounted for INR 204.90 crore. Government properties added INR 24.21 crore to the total revenue. This trend highlights the higher tax contribution from business and commercial establishments.
The mode of payment also showed a clear shift towards digital transactions. Around 65.40 per cent of taxpayers opted for online payments, contributing close to INR 240 crore. The remaining collections came through cash payments of INR 125.94 crore and cheque payments of INR 81.3 crore. Increased adoption of digital platforms has helped improve convenience and collection efficiency.
To improve recovery, the civic body continued enforcement measures against defaulters. Authorities issued confiscation notices to 12,191 properties and sealed 1,566 properties due to non-payment of taxes. These actions were aimed at pushing compliance and reducing pending dues.
In previous years, the corporation had also introduced measures such as penalty waivers and incentives for early payments to encourage taxpayers. Combined with digitisation efforts, these steps have contributed to gradual improvement in collections, although full compliance remains a challenge.
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