Manesar Civic Authority Initiates Major Crackdown on Illegal Commercial Activities in Residential Zones
The Municipal Corporation of Manesar (MCM) declared on Thursday a comprehensive and sweeping enforcement action targeting residential properties that have been illegally converted into paying guest accommodations and various commercial establishments while evading higher property tax rates. This decisive move aims to address widespread tax evasion that has significantly impacted municipal revenue streams.
Strict Warning Regarding Essential Services and Property Registration
In a strongly worded official order, the civic body issued a stern warning to property owners, explicitly stating that failure to properly register property identification details could result in the disruption of critical municipal services. These essential services include regular waste collection and continuous water supply, which would be suspended for non-compliant properties.
The municipal corporation acknowledged through its official communication that a substantial number of properties officially recorded as residential in their records are, in reality, being used either wholly or partially for commercial purposes. These activities include operating as paying guest accommodations, hostels, coaching centers, and various small commercial establishments.
Official Statement on Revenue Loss and Property Misuse
Joint Commissioner Lokesh Yadav provided detailed clarification regarding the situation, stating, "Property owners have systematically converted their residential properties into paying guest facilities, hostels, coaching centers, or small commercial establishments without updating the official use classification in corporation records. Since significantly less tax is levied on residential properties compared to commercial properties, these property holders are exploiting this substantial tax difference, causing considerable financial loss to the municipal corporation's revenue."
Yadav further elaborated on the underlying factors driving this phenomenon, explaining, "The commercial use of residential property is causing substantial revenue loss to the corporation. Due to IMT Manesar being located within the corporation area, a large influx of workers, students, and young professionals has created demand for accommodation. Consequently, numerous properties within the corporation area remain classified as residential in official records while actually functioning as commercial establishments."
Mandatory Self-Declaration and Verification Procedures
The Municipal Corporation of Manesar has now made it compulsory for all property owners and occupiers to submit self-declarations regarding the actual use of their properties. The civic body has explicitly cautioned that any misdeclaration or concealment of actual property use will be treated as tax evasion under existing legislation.
Such violations will invite severe penal action under the provisions of the Haryana Municipal Corporation Act, 1994, along with all allied rules and regulations. To implement this new policy effectively, MCM has established specialized inspection and verification teams tasked with conducting thorough physical inspections and comprehensive use-based assessments of properties throughout the jurisdiction.
Consequences of Non-Compliance and Verification Discrepancies
Municipal officials have clarified that any discrepancies discovered between official municipal records and the actual ground reality during verification inspections will trigger harsh consequences for property owners. These consequences include retrospective reassessment of property tax based on the actual commercial use of the property.
Additional penalties may reach up to 100% of the differential tax amount, accompanied by applicable interest charges. The civic body has also authorized coercive actions such as recovery proceedings, sealing of premises, disconnection of water and sewer services, and even potential prosecution in severe cases of violation.
Limited Window for Voluntary Compliance
The Municipal Corporation of Manesar has offered a limited opportunity for voluntary compliance, stating that any voluntary self-declaration submitted before inspection by MCM verification teams will be considered favorably under applicable laws. However, the civic body has categorically ruled out any leniency for violations detected during the verification process.
Officials have emphasized that post-inspection disclosures will not shield defaulters from appropriate punishment, underlining the seriousness of this enforcement initiative. This crackdown signals a definitive end to the previously paper-based oversight system that allowed commercial operations to flourish unchecked in residential areas throughout Manesar.
