The tax has been imposed under non-residential category.
Anand Bhawan in Uttar Pradesh's Prayagraj, where former Prime Minister Indira Gandhi was born, has been served a Rs 4.35 crore house tax notice.
The tax has been imposed under non-residential category and has not been paid since 2013, according to an official.
Anand Bhawan has been home to the Gandhi family and is run by Jawaharlal Nehru Memorial Trust headed by Congress president Sonia Gandhi..
P K Mishra, chief tax assessment officer, Prayagraj Municipal Corporation, told news agency ANI that the notice has been served under provisions of the Municipal Corporation Act and Property Tax rules.
"We conducted a survey to decide the amount of tax. We also invited objection on the assessment but received none. Then, we finalised our assessment and sent the notice," Mr Mishra said.
Speaking to ANI, former PMC mayor Chaudhary Jitendra Nath Singh said that tax cannot be imposed on Anand Bhawan as Jawaharlal Nehru Memorial Trust is exempted from all type of taxes.
"The imposition of tax on Anand Bhawan is wrong. The building comes under Jawaharlal Nehru Memorial Trust which is exempted from taxes. This is a monument of Independence struggle and a museum of memorabilia. This is a centre of education," he said.
Abhya Awasthi, a resident of the city, alleged that the tax has been imposed as part of political vendetta by the BJP government.
"Anand Bhawan is a temple of freedom struggle. The imposition of tax is in line with BJP's agenda for Congres-free India and Nehru-free world. This has been done on instruction of the government," he said.