Pune: BJP corporators and housing society representatives in Pimpri Chinchwad have intensified their demand to scrap the additional 0.5% charge on property ownership transfers, labelling it an “unjust burden” on residents.Shatrughna Kate, BJP corporator and city unit president, has written to municipal commissioner Vijay Suryawanshi, arguing that the charge is redundant. He pointed out that the civic body already levies a 1% local body tax on property value for ownership transfers, making the extra 0.5% fee unnecessary.The Pimpri Chinchwad Municipal Corporation (PCMC) introduced this additional transfer fee in 2022 during the period of administrative rule. Unlike the previous system, this fee is calculated based on market value and ready reckoner rates to bolster civic revenue.Before 2022, the civic body charged 10% of the property’s rateable value, based on annual rental income, which was considered nominal. However, the revised norms requiring 0.5% of the total market value have significantly inflated the financial burden on both buyers and sellers.While the move faced initial pushback, the administration remained firm during the absence of an elected body. Now, with elected representatives back in office, the demand for withdrawal has been revived.“The civic body already collects multiple taxes from its residents. There is no justification for this additional load,” Kate said. “If the administration does not act on our demand to withdraw this tax, we will escalate the matter in the general body meeting.”Sanjeevan Sangle, president, Chikhali-Moshi Pimpri Chinchwad Housing Societies Federation, said the federation has been fighting this charge since its inception. “We approached the chief minister for intervention and met the municipal commissioner, but our efforts went in vain. With elected representatives now in place, we expect a resolution. The civic body must explore alternative revenue streams instead of overtaxing residents,” Sangle added.A senior PCMC official stated that while the matter is yet to be formally deliberated, a decision would be made after careful consideration. “These transfer charges are a significant revenue generator. In the 2025–26 fiscal year alone, this component generated approximately Rs45 crore,” the official said.Pune Municipal Corporation (PMC) officials stated that they do not use market value as a base for transfer fees. “PMC charges 30% of the rateable value for property transfers, a system that has remained consistent and avoids high costs associated with market-value calculations,” a PMC official said.
