Nagpur: In a major relief to property tax defaulters, the Nagpur Municipal Corporation (NMC) has introduced a Property Tax Amnesty Scheme 2024-2025, offering an 80% waiver on penalties and interest. The initiative, effective from January 1 to March 31, 2025, is seen as a New Year gift for citizens and a strategic move ahead of the civic body elections slated for this year.
The scheme reduces the burden on property tax defaulters by slashing Rs 616.36 crore from the total penalties and interest amounting to Rs 770.45 crore. With this, the NMC hopes to recover a substantial portion of the cumulative Rs 850 crore in unpaid property taxes.
Gold Rate
Tuesday 21 Jan. 2025
As of December 31, 2024, 2,86,399 property owners were listed as defaulters, with Rs 850 crore in pending dues. This includes Rs 30.73 crore in unpaid taxes from government and semi-government properties, along with Rs 227 crore tied up in legal disputes.
Under the guidance of Municipal Commissioner Abhijeet Chaudhari, the NMC aims to encourage defaulters to clear their dues while offering substantial relief. “This amnesty scheme is a win-win situation, allowing taxpayers to regularize their accounts at reduced costs and helping the NMC boost its revenue,” said a senior official.
The Maharashtra Municipal Corporations Act, 1949, mandates penalties or interest on delayed property tax payments. In extreme cases, recovery actions, including property attachment or seizure, can be initiated. Officials have clarified that the amnesty applies exclusively to payments made during the scheme’s tenure.
The NMC aims to recover at least Rs 200 crore from this initiative, which includes the principal tax amount and 20% of penalties and interest.
Amnesty for water bill defaulters
A day before announcing this property tax relief, the NMC launched a similar amnesty scheme for water bill defaulters, further showcasing its focus on easing financial burdens for citizens while addressing its revenue concerns.
No room for delays
“This scheme is a golden opportunity for defaulters,” an official emphasized. “Those failing to utilize this chance will face enforcement actions as per the law.” Payments made outside the scheme period will not qualify for waivers, and no refunds will be processed, the NMC clarified.
With this move, the NMC hopes to bolster its financial standing and ensure compliance, as the civic elections draw near.
