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Residents of Secunderabad Cantonment have sought a reduction in the transfer of property tax from 5% to 1.5%, highlighting that the current rate is outdated and higher than nearby GHMC areas. A residents group has requested a fresh notification and wider public consultation before continuing the levy. The demand comes as the Cantonment Board prepares to directly collect the tax from June 2026. Concerns over tax disparity, lack of transparency, and rising financial burden on property owners have brought renewed attention to the issue.
Residents in Secunderabad Cantonment have approached the Cantonment Board authorities seeking a reduction in the transfer of property tax (TPT), which is currently levied at 5%. The demand has been submitted to the Chief Executive Officer, with residents stating that the rate is outdated and does not reflect current economic conditions or property values. Advertisement
A local group, Cantonment Vikas Manch, has conveyed that the existing tax rate was introduced decades ago under older legal provisions, at a time when public awareness and participation in such decisions were limited. The group stated that residents at the time may not have had enough opportunity to raise objections or provide feedback before the rate was finalised.
The residents have requested that the Board issue a fresh notification regarding the tax and open it up for public consultation. They have asked for a transparent process where current residents can submit objections and suggestions before any decision is taken on continuing or revising the rate.
At present, the transfer of property tax is collected by the state government during property registration and later passed on to the Secunderabad Cantonment Board. Residents pointed out that the 5% rate is significantly higher than the 1.5% charged in neighbouring areas governed by the Greater Hyderabad Municipal Corporation. This difference has been flagged as a key concern, as it creates an uneven tax burden for property owners in adjoining regions.
The group has also highlighted that the cantonment area has undergone significant changes over the years, including growth in population, increase in property transactions, and changes in purchasing capacity. They stated that continuing with a decades-old tax rate without review does not align with present-day realities and adds financial pressure on residents.
Another concern raised is the lack of recent public involvement in continuing the tax. Residents have said that applying an old notification without revisiting it through a participatory process raises questions around fairness and transparency in governance.
The issue has gained attention at a time when the Secunderabad Cantonment Board is making changes to its tax administration system. The Board is set to begin direct collection of transfer of property tax from June 2026, replacing the earlier system where the state government collected the tax on its behalf. Despite this administrative shift, the tax rate remains unchanged, which has led to further dissatisfaction among residents.
In recent months, property owners in the cantonment area have also been dealing with higher property tax assessments and pending dues, adding to concerns about the overall tax structure. Residents believe that revising the transfer tax rate in line with surrounding municipal areas would bring better balance and reduce the financial burden.
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