Trichy corpn to mobilise Rs241cr to bridge budget deficit

Trichy: Two days after presenting a Rs128.9 crore deficit budget for the 2025-26 financial year, Trichy corporation council mooted a special plan on Friday to raise an income of Rs241 crore to overcome the deficit. Targeting top tax defaulters, streamlining lapses in collecting monthly rents for corporation's properties, and through land sale, the corporation plans to mobilise funds for implementing new proposals in the budget.
It has estimated tax dues at Rs160 crore including from long-time defaulters and due to delay in collecting property tax due to legal barriers. While the local body recently revised the rental slab for shops on West Boulevard road from Rs6 per square feet to Rs29 per square feet, a section of vendors approached court and obtained a stay order against the revision. The local body awaits Rs14 crore as revenue from shop rents. "Similarly, the HR&CE department has claimed ownership of residential land in Srirangam, so we are unable to levy property tax worth Rs 2 crore. We expect sizeable revenue by facilitating underground drainage (UGD) connections under phase II and III projects, too," mayor Mu Anbalagan said.
As 14.1 acre of corporation land in Panjapur was recently allocated to construct a new Tidel park, the local body awaits Rs47 crore for land sale or an equity in the property. Anticipating Rs241 crore to be realised in the next few months, and another Rs100 crore targeted through new non-tax revenue by renting out upcoming commercial properties in Integrated Bus Terminus (IBT), truck terminal, and private bus terminus in Panjapur, the mayor said that the local body could repay loans too.
DMK alliance partners in the council including Congress, CPI, CPM and VCK have welcomed the city budget. "We should curtail expenses and increase revenue. Instead of targeting only the general public, we should focus on big private companies and govt departments such as BSNL that have dues," K Suresh, CPI councillor, said. Corporation commissioner V Saravanan said BSNL Trichy paid outstanding dues of Rs2 crore on Friday.
"TN govt sanctioned special funds for Coimbatore recently, we should also demand such special funds to repay loans," V Jawahar, a Congress councillor, said. Independent councillor LIC Shankar, pointing out Rs29 crore allocated for new green space and public parks in the budget, said the local body must ensure that maintenance provisions are ensured. Reacting to tax dues by major organisations and govt departments, a senior corporation official told TOI that a total demand of Rs4.4 crore was recently raised and collected from Airports Authority of India (Trichy airport), Central Warehousing Corporation (CWC) KK Nagar, and BSNL Trichy.