NASHIK: The Nashik Municipal Corporation (NMC) has announced an amnesty scheme for property tax defaulters, starting Monday, September 1.
This initiative aims to recover a substantial part of the total outstanding property tax, which is estimated to be Rs784 crore, including Rs327 crore in penalties accumulated over the years.
The scheme offers a significant waiver on penalties for those who clear their dues. Defaulters who pay off all outstanding property tax between September 1 and October 31 will receive a 95% waiver on the penalties.
For payments made in November, the penalty waiver will be reduced to 85%. The NMC usually imposes a 2% monthly penalty on unpaid taxes, in addition to recovery costs for any notices and warrants issued to defaulters. This amnesty program provides an important incentive for residents to settle their accounts.
“We need to secure funds for our 20% contribution to the upcoming Simhastha Kumbh Mela. We’ve prepared a Rs15,000 crore plan for the event and submitted it to the state government for approval. Recovering property tax dues is crucial for us,” stated an NMC official.
“Instead of taking strict action against defaulters, we’ve introduced this amnesty scheme to encourage maximum collections,” the official added.
The civic body must meet a 100% property tax collection target set for each financial year to qualify for funding under the 15th Planning Commission from the Centre.
Last year, an amnesty scheme allowed defaulters to receive a 95% rebate on penalty amounts from October 1 to January 31, 2024. Interestingly, the NMC collected Rs256 crore in property tax last financial year, surpassing its target of Rs250 crore.
