Ahmedabad

₹20.69 Crore Property Tax Pending on TransStadia/EKA Club, Recovery Stalled Over Court Case

By GS Team
17 Aug 20262 mins read
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Ahmedabad's AMC faces scrutiny over ₹20.69 crore property tax due from TransStadia/EKA Club, stalled by a Gujarat High Court stay. Congress questions the corporation's lenient approach to large taxpayers compared to ordinary citizens, demanding accountability for delayed recovery and legal spending. AMC awaits the court's verdict to recover the substantial dues with interest, highlighting broader concerns about municipal tax recovery mechanisms.

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₹20.69 Crore Property Tax Pending on TransStadia/EKA Club, Recovery Stalled Over Court Case
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Property tax worth ₹20.69 crore remains outstanding on TransStadia/EKA Club under the Amdavad Municipal Corporation (AMC), with recovery stalled due to a legal dispute pending before the Gujarat High Court.

The issue has raised questions over the civic body's efforts to recover large tax dues, particularly as the corporation routinely takes stringent action against ordinary property owners over unpaid taxes.

Congress Questions AMC’s Legal Action

Rajesh T. Soni, general secretary of the Gujarat Pradesh Congress Committee, raised the issue and questioned the AMC's handling of the case.

Soni said the civic body spends a substantial amount every year on legal proceedings and lawyers despite having its own legal team. He questioned why the case involving recovery of property tax worth crores has remained unresolved for such a long period.

He also sought details of the action taken by the corporation to ensure an early disposal of the case.

‘Same Strictness Should Apply to Large Taxpayers’

Soni said the AMC promptly issues notices, adds interest and can seal properties when ordinary citizens fail to pay their property tax.

He argued that similar legal and recovery measures should be pursued when large establishments have substantial tax dues pending.

The Congress leader also demanded disclosure of the amount spent by the corporation each year on its legal team and related legal proceedings.

High Court Stay Halts Recovery

An official from the AMC's tax department said recovery in the TransStadia/EKA Club case is currently affected by a stay granted by the Gujarat High Court.

The official said the corporation continues to issue notices along with the annual property tax bill despite the ongoing litigation.

According to the tax department, if the High Court ultimately rules in favour of the AMC, the corporation will recover the outstanding property tax along with applicable interest.

Recovery Depends on Court Verdict

The ₹20.69 crore outstanding amount has therefore remained pending while the legal dispute is before the court.

The case has also brought renewed scrutiny to the AMC's recovery mechanism and the pace at which high-value property tax disputes are pursued and resolved.

For now, the corporation's tax department maintains that it is continuing the prescribed process and will move to recover the dues, including interest, subject to the final court order.