By Team Homes | Monday, 10 February 2025

PMC loses Rs. 274 crore due to Property Tax Amnesty Schemes

Pune Municipal Corporation (PMC) has suffered a loss of Rs. 274 crore due to two amnesty schemes aimed at reducing property tax defaulters. These schemes, instead of encouraging responsible tax payment, have led to a significant number of property owners not paying their taxes again.

The amnesty schemes, launched in the financial years 2020-21 and 2021-22, offered discounts to property owners with outstanding taxes. However, data reveals that many beneficiaries of these schemes have become defaulters again. In 2020-21, 42% of the beneficiaries were defaulters again by December 2024, causing a loss of Rs. 210 crore.

Similarly, in 2021-22, 67% of the beneficiaries defaulted again, leading to a loss of Rs. 64 crore.

Citizens' group Sajag Nagrik Manch has raised concerns about the effectiveness of such schemes, stating that they not only cause financial loss but also discourage diligent taxpayers. They argue that these schemes incentivize defaulters to wait for such opportunities instead of paying taxes on time.

PMC officials have acknowledged the issue and stated that they are taking strict action against defaulters, including charging fines, attaching properties, and recovering dues through auctions. However, the data suggests that these measures have not been effective in preventing repeated defaults.

The situation has sparked debate among citizens, with some expressing disappointment over the loss of funds and the unfairness towards those who pay taxes regularly. They argue that the money lost due to these schemes could have been used for development works in the city.

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