VIJAYAWADA: As the financial year nears its close, the Municipal Administration and Urban Development (MA&UD) Department has reported strong progress in revenue mobilisation, though challenges remain in meeting its ambitious Rs 2,610.48 crore target for 2025-26.
Principal Secretary (MAUD) S Suresh Kumar said property tax collections and the Layout Regularisation Scheme (LRS) have performed well above expectations, while revenue from MIG layouts continues to lag. He emphasised that reforms in enforcement, technology integration, and citizen-friendly systems have been central to the department’s gains.
Property tax collection exceeds Rs 323.43 cr target
Property tax collection has surged to Rs 531.92 crore, far above the target of Rs 323.43 crore. Suresh Kumar attributed the success to a mix of enforcement drives and technology-enabled monitoring.
Urban Local Bodies (ULBs) have conducted intensive Demand–Collection–Balance reviews at city and ward levels, supported by daily dashboards.
Special recovery drives targeted high-arrear properties, including commercial establishments, while enforcement actions have been taken against persistent defaulters.
“The integration of auto-mutation and GIS mapping has allowed us to identify thousands of unassessed properties, which directly boosted collections,” Suresh Kumar said.
Auto-mutation in 17 corporations and 16 municipalities now updates property ownership automatically on registration, ending visits. Buyers pay fees and clear dues at sub-registrar offices. A statewide drone, GIS-based survey added Rs 560 crore by detecting under- and unassessed properties.
Suresh Kumar noted that QR-coded property IDs and Aadhaar authentication are being introduced to strengthen compliance and eliminate duplication.
QR-based payments integrated with the SBI gateway, along with digital options on the CDMA portal, Puramitra, and Mana Mitra platforms, have expanded convenience. Integration with the Bharat Bill Payment System (BBPS) is underway.
“Auto-mutation has improved compliance by enabling faster updating of ownership records, and immediate inclusion of newly registered properties into the tax net,” Suresh Kumar said. “Aadhaar authentication will further strengthen accuracy and eliminate duplication.”
The LRS has yielded Rs 338.78 crore, more than double the initial projection of Rs 130–140 crore. With over 66,752 applications received under LRS 2025, officials expect further inflows before the April deadline.
“The LRS has performed significantly better than initial projections, driven by simplified procedures, digital workflows, and increased public awareness. We anticipate further acceleration as the deadline approaches. After the notified cut-off dates, the government will initiate strict enforcement action against unauthorised layouts and constructions as per statutory provisions,” he said.
Revenue from MIG layouts remains below target
Revenue from MIG layouts, projected at Rs 1,747.05 crore, has so far yielded Rs 490 crore only. Suresh Kumar cited delays in layout approvals, site-level infrastructure readiness, and market absorption constraints.
“Revenue from MIG layouts has remained below target primarily due to delays in statutory processes such as surveying, demarcation, and valuation. Identified land parcels are now at an advanced stage of readiness, and monetisation is expected to commence in a phased manner soon,” he explained.
Over 1,903 acres across 80 land parcels have been identified, with 11 UDAs floating Expressions of Interest covering 654 acres. Around 23 proposals are currently under scrutiny.
Suresh Kumar acknowledged that water tax collections remain relatively low due to the absence of penalty provisions.
“We are confident of closing the year strongly. While MIG layouts remain a challenge, property tax and LRS have outperformed expectations, giving us a cushion,” he said.