PMC to Impose Commercial Tax on Coaching Classes and Hostels in Pune
Pune: The Pune Municipal Corporation (PMC) is gearing up to introduce a commercial property tax, three times the residential rate, on buildings that operate as coaching classes, study rooms, and hostels. This initiative is part of a broader plan to address safety concerns and regulate the burgeoning student accommodation sector in the city.
At a review meeting held on December 3, chaired by additional municipal commissioner PB Prithviraj, officials from various departments, including encroachment, taxation, ward offices, and security, discussed the violations and safety issues prevalent in these facilities. The meeting highlighted concerns such as study rooms operating in basements and parking areas, unsafe paying guest (PG) facilities, and street vendor encroachments around student hubs.
The civic body will draft specific rules for study rooms and PGs, initiate a citywide survey to identify unauthorized facilities, and start taking action against illegal study rooms within a week. The tax department will verify the commercial use of these properties to ensure compliance with the new tax regulations. A joint meeting with the police is expected to take place within 10-15 days to coordinate enforcement efforts.
Pune is home to over 140 coaching centres, with a rapidly expanding network of study rooms and PG accommodations in areas like Sadashiv Peth, Narayan Peth, Shivajinagar, Deccan, Kothrud, Karve Nagar, Pimple Gurav, Narhe, and Hadapsar. Many of these centres operate in cramped, poorly ventilated spaces without the necessary fire permissions, posing significant safety risks. Additionally, these unregulated facilities contribute to traffic congestion and blocked footpaths, affecting the quality of life for residents.
“Pune welcomes students but cannot allow unregulated facilities to disturb residents,” Prithviraj emphasized. He added that all study rooms and PGs must comply with fire, building, and tax norms. The PMC will closely monitor the crackdown to ensure that all facilities meet the required standards.
The move to impose a higher commercial tax rate on these facilities is expected to generate additional revenue for the municipal corporation while promoting safer and more regulated student accommodation options. This initiative is part of a broader effort to enhance the overall urban infrastructure and maintain a balance between the city's educational and residential needs.
The Pune Municipal Corporation (PMC) is a local self-government body responsible for the administration and development of the city of Pune, India. It plays a crucial role in providing essential services and ensuring the well-being of its residents, including the growing student population. By implementing these new regulations, the PMC aims to create a safer and more organized environment for students and residents alike.
