For the first time since its establishment, the Greater Visakhapatnam Municipal Corporation (GVMC) has achieved property tax collections exceeding Rs 500 crore, totaling Rs 510 crore for the financial year 2024-25.
The collection from vacant land tax (VLT), which usually falls between Rs 30-40 crore, has remarkably surpassed Rs 75 crore this year due to intensified collection initiatives. Additionally, the adjustment of the tax framework for properties that were formerly categorized as domestic but have now been reclassified as commercial, along with the identification of extra floors, has resulted in an additional Rs 30 crore in tax revenue. Approximately 10,500 new assessments contributed an extra Rs 15 crore.
The GVMC also succeeded in recovering taxes from several long-overdue defaulting government institutions. The tax collections for the financial year 2024-25 reflect an increase of nearly Rs 53 crore compared to the previous year, 2023-24, when the civic body collected Rs 457 crore.It took several years for the GVMC to reach the Rs 500 crore mark.
For instance, after generating Rs 302 crore in the 2018-19 fiscal year, the corporation faced a significant decline in tax revenue due to the widespread effects of the Covid-19 pandemic, with collections dropping to Rs 224 crore and Rs 274 crore in the 2020 and 2021 financial years, respectively. However, tax collections rebounded to around Rs 421 crore in 2022-23, followed by a slight increase to Rs 457 crore in 2023-24.
GVMC deputy commissioner (revenue) S Srinivasa Rao said that the responsibilities for property tax collection have been bifurcated between the various ward secretariats of Vizag city. “This has made each secretariat responsible for the tax collection in its respective area.Our focus this time was on the collection of vacant land tax and revisions.
Many commercial properties were previously categorized under the regular household tax. Through these revisions, we successfully generated Rs 35 crore. Additionally, we increased the demand by another Rs 30 crore. District Collector M.N. Harendhira Prasad, who is currently serving as the in-charge commissioner of the GVMC, has been holding regular meetings and offering guidance on the action plan. The collector’s involvement has been instrumental in recovering revenue from institutions that have long been in default,” stated Srinivasa Rao.
Meanwhile, the GVMC announced that property tax and vacant land tax for the 2025-26 can be paid by April 30 to avail a 5% rebate.As per section 264(3) of the Andhra Pradesh Municipal Corporations Act, 1955, taxpayers who pay their property and vacant land taxes for the current financial year by April 30 are entitled to this 5% rebate as part of the early bird incentive.
To facilitate public access, the GVMC main office and all zonal offices will keep their facilitation centers open from 9 am to 8 pm, including Sundays, to assist with property tax payments until the deadline. Taxpayers can settle their obligations through various methods, including the GVMC website (gvmc.gov.in) using the property tax Bharat QR code, as well as by cash, demand draft, cheque, and debit/credit cards at GVMC facilitation centers. Payments can also be made at the IDBI Siripuram branch, ICICI Dwaraka Nagar branch, Punjab National Bank Madhurawada branch, and Axis Bank Ram Nagar branch using cash, demand drafts, or debit/credit cards. Additionally, debit/credit cards and UPI payments are accepted at ward secretariats.
