Maharashtra Open To Waiving Property Tax For 700 Square Feet Houses
Mumbai to waive off property tax up to 700 sq ft.
The Maharashtra government will waive property tax for residential houses with a carpet area of up to 700 square feet, if the proposal is approved by the Brihanmumbai Municipal Corporation and presented before the House, Chief Minister Devendra Fadnavis said in the legislative assembly today.
The proposal was made by Bharatiya Janata Party MLA Ashish Shelar in the assembly. The waiver will benefit 21 lakh existing houses in the country’s financial capital, Shelar said.
The country’s largest muncipal corporation is yet to consider the proposal. While presenting its budget for 2018-19, the BMC had estimated Rs 5,206 crore in property tax revenue in the financial year. It’s one of the largest sources of revenue for the corporation. The financial impact of the waiver on the revenues of the corporation is yet unclear.
The BMC has a good revenue stream and with the state government compensating it for loss of revenue due to octroi and abolition of local body tax. It can afford such concessions to the residents, Fadnavis said. Besides, the the state government has given it an additional Rs 600 crore this year as GST grant, he added.
Underlining the need for 20 lakh new houses in Mumbai city and suburbs, Fadnavis said that as on date, 5 lakh houses have been constructed or are in approved stages. As part of the slum redevelopment work, the state government is also working with the railway ministry to provide houses to slum dwellers on railway lands, he told the assembly.
Mumbai Development Plan
The Mumbai Development Plan 2034 (DP) will be approved by the Maharashtra Cabinet by end of March 2018, Fadnavis said.
“We received the Mumbai DP on August 2, 2017. The town planning director completed his scrutiny on Feb. 2, 2018. As per the provisions, state government gets two and a half years of statutory period for approval. But we are determined to approve it by March 2018,” he said.
Elaborating on the plan, Fadnavis said there will be no compromise on open spaces in the city and an independent development control rule for goathans, adivasis, and tribal hamlets.
“There will be no compromise related to open spaces, except those governed by court rulings, on the 1991 DP, and where there are errors related to existing land use and other provisions,” Fadnavis said.