90% Interest Discount on Property Tax Arrears: Telangana Govt’s Big Relief for Hyderabad

Sweet Relief for Hyderabad Property Taxpayers: 90% Interest Waiver on Arrears

Hyderabad, December 22:
In a major relief to property owners in Hyderabad, the Telangana government has announced a One Time Scheme (OTS) offering a 90% waiver on interest accrued on pending property tax arrears. The decision is aimed at easing the financial burden on taxpayers who have been unable to clear dues accumulated over several years.

The municipal administration department issued Government Order (GO) No. 869, reviving the OTS for the financial year 2025–26. Under the scheme, taxpayers are required to pay the principal tax amount along with only 10% of the interest, while the remaining 90% interest will be waived.

The benefit will be extended to all residential and commercial properties, including private property owners as well as government institutions, falling under the jurisdiction of the Greater Hyderabad Municipal Corporation (GHMC).

Officials said many property owners failed to pay taxes on time due to financial constraints, leading to heavy accumulation of interest over the years. “The growing interest component often becomes a deterrent for taxpayers. This scheme is designed to help them clear long-pending dues in an affordable manner,” a senior official said.

Apart from financial relief, clearing arrears will also help property owners during sale transactions, property registrations, and bank loan processing, where updated property tax receipts are mandatory.

Taxpayers can avail of the scheme online through the GHMC website or mobile application, without the need to visit municipal offices. Authorities clarified that the scheme is valid only during 2025–26, and regular interest rates will be reimposed once the period ends.

With GHMC already issuing notices to defaulters, officials have urged property owners to utilise the one-time opportunity at the earliest to avoid future penalties and legal complications.