Secunderabad Cantonment Board to collect property tax directly from June

The Secunderabad Cantonment Board will begin direct collection of Transfer of Property Tax from June 2026, remitting funds into the Cantonment Fund Account. The 5 per cent TPT rate continues, drawing criticism from civic groups seeking lower property tax rates.

Hyderabad: The Secunderabad Cantonment Board (SCB) will take over the direct collection of Transfer of Property Tax (TPT) starting this June. A resolution to transition away from the State government’s collection system was passed unanimously in a Board meeting on Monday.

The move allows the SCB to remit tax charges directly into the Cantonment Fund Account (CFA).

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Local MLA N Sri Ganesh confirmed that the resolution will be forwarded to the Registration and Stamps Department and the Bowenpally Sub-Registrar Office (SRO) to formalise the handover.

Despite the administrative shift, the total registration fee remains at 11 per cent, which comprises 5.5 per cent stamp duty, 0.5 per cent registration charges, and 5 per cent TPT.

Sri Ganesh said that a reduction in these charges, to match the 7.5 per cent rate levied in the neighbouring GHMC areas, depends on the Ministry of Defence (MoD). The Board intends to reconsider the tax bracket once the MoD clears Rs 1,200 crore in service charges that have been pending for several years.

The decision to maintain the current 5 per cent TPT rate has drawn criticism from civic groups.

Sanki Ravinder Babu, General Secretary of the Cantonment Vikas Manch, demanded that the tax be capped at 1.5 per cent immediately. Residents in adjoining GHMC limits pay significantly less for property transfers, he said.

The transition process will be managed by the SCB Chief Executive Officer, who is now authorised to issue the necessary public notifications. The board meeting was chaired by president Brigadier S Rajeev and attended by CEO Arvind Kumar Dwivedi, MLA N Sri Ganesh, and nominated member Banuka Narmad.

• 12/03/1956: To levy and collect tax on transfer of immovable property in Secunderabad Cantonment area at the rate of 5 per cent on the amount or value of the sale
• The TPT is being collected by the State government on behalf of the Cantonment Board and remitted to SCB
• Before March 2016: The State government (Registration and Stamps Dept) used to regularly credit the TPT into the Cantonment Fund Account
• 18/10/2016: The State government discontinued remitting the TPT charges in SCB’s account