The Andhra Pradesh Legislative Assembly on February 13, 2026, introduced the Andhra Pradesh Municipal Laws (Second Amendment) Bill, 2026 to amend the Municipal Corporations Act, 1955 and the Andhra Pradesh Municipalities Act, 1965. The amendment aims to provide relief to property owners during the construction phase by modifying provisions related to vacant land taxation.
The Bill introduces a provision for 50% waiver of Vacant Land Tax during the construction period of a building. This period is defined as the time from the grant of construction permission until the earliest of the following: issuance of the occupancy certificate, completion of construction, or expiry (including extended validity) of the building permission.
However, the benefit of such tax waiver will not apply to unauthorized constructions undertaken without requisite approvals from municipal corporations, municipalities, urban development authorities, or other competent authorities. The amendment seeks to incentivize lawful construction while ensuring compliance with regulatory approvals.
[L.A. Bill No. 2 of 2026]
