A.P. govt. announces one-time 50% interest waiver on property tax arrears

The Andhra Pradesh government has announced a one-time 50% interest waiver on the accumulated property tax arrears for the 2025–26 financial year across all municipalities and municipal corporations, offering relief to the taxpayers while strengthening the finances of Urban Local Bodies (ULBs).

Under the scheme, taxpayers can avail the benefit by paying 100% of the principal property tax dues along with the remaining 50% of interest in a single lump sum payment. The waiver will remain in force until March 31, 2026, and will not be extended beyond the deadline.

S. Suresh Kumar, Principal Secretary, Municipal Administration and Urban Development Department (MA&UD), in a release on Tuesday, said property tax remains the largest and most reliable source of revenue for municipal bodies, funding essential services such as drinking water supply, underground drainage, sanitation, urban roads, stormwater management, street lighting, public health services, and urban green spaces.

During a review meeting, the government observed that significant property tax arrears remain pending from several State and Central government institutions. The departments concerned have been urged to clear the dues promptly to ensure fiscal discipline and support municipal infrastructure development.

Citizens can pay their dues through digital platforms such as Mana Mitra and PuraMitra, as well as through designated counters at the municipal offices.

Mr. Suresh Kumar said the initiative aims to help taxpayers regularise dues, while strengthening municipal finances and promoting responsible tax compliance.