The Government of Punjab has called upon all property owners to make use of the final opportunity under the One Time Settlement (OTS) Scheme, which allows payment of pending property tax dues without any penalty or interest until August 31, 2025.
Property tax is a vital source of revenue for Urban Local Bodies (ULBs), enabling them to deliver essential services like sanitation, public health, solid waste management and infrastructure development.
Recognising this, the state government had launched the OTS Scheme on April 1, 2025, to provide relief to taxpayers and improve civic revenues. The window was extended twice to ensure that maximum citizens could benefit. So far, over Rs 250 crore has been collected under the scheme.
Despite these encouraging collections, some dues remains pending, particularly from medium and large commercial and industrial properties. To ensure fairness for those who have already cleared their taxes, the government has clarified that the OTS window will not be extended beyond August 31.
From September 1, 2025, Urban Local Bodies will begin taking enforcement measures against those who have not availed of the scheme.
Officials say out of about 1.8 lakh commercial and industrial properties, 1.1 lakh remain in default. A majority of the dues, around ₹580 crore, is owed by just 35,000 medium and large property owners. Of this, nearly ₹200 crore is pending from large commercial properties in Punjab’s 13 municipal corporations.
An official spokesperson said, “The government has provided ample opportunity over the last four months for property owners to clear their dues without penalty. We urge all remaining taxpayers to take advantage of this final chance, as enforcement action will begin only after the OTS window closes.”
For the convenience of residents, the government has announced that all Suvidha Kendras in Punjab will remain open on Saturdays and Sundays (August 23–24 and 30–31), in addition to regular working days, to facilitate timely submission of property tax.
The Government of Punjab reiterated its commitment to citizen welfare and urban development, urging all property owners to come forward before the deadline. “This is not just about revenue collection, it is about strengthening our cities and ensuring better civic services for all,” the spokesperson added.
