No property tax on residential properties up to 500 square feet in Mumbai, says CM Uddhav Thackeray
The property tax on residential units up to 500 square feet, located within the boundaries of Mumbai’s municipal area, will be removed, the Maharashtra government said on Saturday.
Chief Minister Uddhav Thackeray announced the decision at an Urban Development Department meeting earlier today, according to an official statement.
The waiver comes ahead of Mumbai’s municipal elections scheduled for next month.
The CM asked the administration to implement the decision with immediate effect, according to the statement.
He quoted Urban Development Minister Eknath Shinde as saying the decision would benefit owners of more than 16 lakh homes under 500 square feet within the boundaries of the Brihanmumbai Municipal Corporation (BMC).
Mr Shinde said the Shiv Sena, which heads the BMC, fulfilled an important assurance he gave ahead of the 2017 BMC elections.
Mr Thackeray chaired a virtual meeting on Saturday with Mr Shinde, Mumbai District Guardian Minister Aslam Shaikh, Mumbai Suburban District Guardian Minister Aaditya Thackeray, Mayor Kishori Pednekar and Chief Secretary Debashish Chakrabarty .
An official said BMC is expected to lose revenue of 468 crore as a result of the waiver.
BMC in 2021-2021 had estimated property tax collection at 6,738 crore but could raise â¹ 4,500 crore due to the covid pandemic and foreclosure. In 2021-2022, the BMC has planned to collect the property tax of 7,000 crore.