Secunderabad Cantonment Board moves to collect transfer of property tax directly

The SCB has proposed taking over the collection of Transfer of Property Tax from the Telangana government, citing long delays in remittance of charges collected during property registrations. Currently, the state collects 11% in duties and taxes, including 5% TPT, but has not remitted Rs 73 crore to SCB since 2016.

Hyderabad: The Secunderabad Cantonment Board (SCB) has moved a proposal to take over the rights to collect Transfer of Property Tax (TPT) amid delays by the state government in remitting the charges collected during plot registrations.

Under the current system, TPT charges are collected by the state government (Municipal Administration & Urban Development) at the time of registration of plots located within the Cantonment jurisdiction, and subsequently remitted to SCB. However, for the last several years, the state government has kept remittance of TPT charges pending.

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Towards registration of plots under Cantonment jurisdiction, the Telangana Registration & Stamps Department (sub-registrar office at Bowenpally) collects a total of 11%, which includes 5.5% stamp duty, 0.5% registration charges and another 5% as Cantonment TPT charges, which is higher than GHMC’s 7.5% TPT charges.

A fund-starved SCB has been facing inordinate delays in receiving the TPT charges from the state government since 2016. According to SCB sources, the state government did not remit Rs 73 crore TPT charges to the Cantonment, up to 2025.

“Transfer of the TPT charges is one of the key revenue sources after property tax, water bills and other revenue sources for the Cantonment Board and is directly linked to property transactions within Cantonment jurisdiction,” the sources said.

To ensure efficient revenue administration, financial autonomy, and transparency, the proposal was moved to undertake the entire TPT system, which includes direct collection and monitoring by the SCB.

With this as a single point agenda, the SCB will commence its special Board meeting scheduled to be held on April 6. Once SCB passes a resolution, a formal intimation will be communicated to the state government about the resolution, issuance of a public notice regarding the new decision of the revised TPT charges collection, and intimation to the sub-registrar offices, the sources said.