Maha cabinet gives nod to continuation of 40% property tax rebate

PUNE: In a major relief for taxpayers, the state government on Wednesday gave its nod to continuation of the 40% rebate on property tax, a scheme that was introduced in 1970 but discontinued in 2019. While continuation of the scheme had received ‘in principle’ approval in March this year, the Maharashtra cabinet on Wednesday gave official sanction to the same.

Pune district guardian minister Chandrakant Patil said, “The state cabinet has given the green signal to continuing this scheme with effect from April 2023. The taxpayers will not have to pay dues for the years from 2019 to 2023.”

“If some taxpayers have already paid additional property tax after discontinuation of the scheme from 2019 to 2023, the Pune Municipal Corporation (PMC) will adjust the amount in the existing property tax bills and give them rebate for that amount,” Patil said.

Scrapping of the rebate in 2019 drew sharp reactions from citizens as nearly 8 lakh property taxpayers were affected by the decision. Ever since, politicians across parties have been promising reintroduction of the scheme but nothing has moved on the ground, till now.

Recently, MLAs from Pune city had staged agitations in the assembly for continuation of the rebate. Chief minister Eknath Shinde and deputy chief minister Devendra Fadnavis had called a meeting with Patil and other office-bearers in March when it was decided ‘in principle’ to continue with the 40% rebate. With the cabinet nod pending however, the civic administration had been unable to issue property tax bills this year. PMC commissioner Vikram Kumar had instructed the property tax department not to issue bills for 2023-24 pending the Maharashtra government’s decision. With the state cabinet having given its nod to continuing with the rebate, the civic body will now be able to issue property tax bills after making necessary changes.