Kolkata Municipal Corporation (KMC) has recorded a year-on-year increase of ₹47.43 crore in property tax collection for the fiscal year 2024–25, reflecting a 3.9 per cent rise over the previous year.
The growth signals a strengthening of the civic body’s fiscal health, attributed to improved compliance, stricter enforcement, and the formal assessment of previously unlisted urban zones. The latest figures place KMC’s total property tax collection at ₹1,258.53 crore, up from ₹1,211.10 crore in the 2023–24 financial year. Officials from KMC’s assessment department have confirmed that targeted efforts to integrate newly urbanised neighbourhoods and commercial establishments have played a pivotal role in this uptick. Notably, the Joka area, which has seen rapid urbanisation over the past decade, contributed ₹48.37 crore registering a remarkable 15.24 per cent growth over last year’s ₹41.97 crore.
Revenue from institutional properties in Joka further buoyed the municipal kitty, with significant payments from healthcare and educational institutions. According to KMC officials, these contributions represent the growing importance of institutional accountability in city revenue systems. The South Suburban Unit, which includes Behala, posted a 10.98 per cent increase in collections, reaching ₹67.45 crore. Meanwhile, the North Unit, encompassing a large stretch of residential and commercial hubs, registered ₹303.48 crore—a 9.34 per cent rise. These numbers not only reflect regional growth but also underscore successful interventions in plugging revenue leakages and ensuring more equitable taxation. Garden Reach, which recently suffered infrastructural strain following a fatal building collapse in March 2024, witnessed a 4.6 per cent increase in tax collection. The area brought in ₹12.24 crore this fiscal, as against ₹11.70 crore the year before. While modest, this growth reflects administrative continuity and localised recovery efforts in the wake of urban safety concerns.
Interestingly, the South Unit—though registering a marginal growth of just 0.48 per cent—remains the city’s highest tax-contributing region with ₹527.63 crore. The Tolly Tax Unit saw a 2.63 per cent rise, while the XI and XII boroughs showed marginal improvements of 0.54 and 1.15 per cent respectively. Senior officials within KMC attribute the gains to sustained drives for recovering pending dues and a crackdown on previously unassessed commercial units. A proactive approach in identifying tax-evading entities and integrating them into the municipal fold has been a defining factor in this year’s revenue growth. Assessment officers also indicated that digitisation of records and stricter monitoring of tax defaults have improved efficiency.
Experts in urban governance suggest that KMC’s fiscal performance sends a strong signal about the city’s administrative resilience. In the context of climate-resilient and sustainable city planning, robust local revenue streams are crucial to financing essential public services like clean water, waste management, affordable housing, and low-emission transport systems. While Kolkata’s modest 3.9 per cent revenue jump may appear conservative, the nuanced distribution of gains across its various units speaks to an increasingly decentralised urban economy. Each borough’s performance reflects the evolving needs, challenges, and compliance cultures of their respective populations.
Urban finance analysts observe that leveraging digital tools for property assessments, encouraging voluntary compliance, and promoting transparency can further amplify revenue in coming years—without the need for steep tax rate increases. These are important lessons for other Indian cities aiming to achieve carbon-neutral growth while keeping urban equity at the forefront. In a city as dense and diverse as Kolkata, achieving sustainable fiscal growth is as much about efficient administration as it is about public trust. Officials have expressed optimism that future collections will continue to rise as the KMC improves service delivery and expands its base through inclusionary tax reforms.
While challenges such as encroachment, infrastructural fatigue, and informal property ownership remain, the 2024–25 fiscal year offers evidence that targeted municipal strategies can yield measurable outcomes. The spotlight now turns to how effectively these funds will be deployed for public benefit—especially in areas lagging behind in basic services and resilience infrastructure.
If Kolkata aims to lead the charge towards equitable and environmentally responsible urbanisation, steady gains in municipal revenue must translate into ground-level impact. And for that, the city’s next big challenge is not just collection—but allocation.
Kolkata Property Tax Rises by Rs 47 Crore in New Fiscal Year
