Pune: PMC Extends Abhay Yojana Scheme for Property Tax Collection till June 30

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Pune, 1st June 2021: Due to the coronavirus (COVID-19) pandemic, municipal corporations across the country are struggling to make ends meet. The pandemic has affected businesses, citizens as well as administrations.

However, despite the COVID-19-induced lockdown, the Pune Municipal Corporation (PMC) has earned Rs 736 crore in revenue from Property Tax in the first two months of this financial year. In May alone, it received Rs 526 crore in revenue that is a record high. Meanwhile, the Standing Committee on Tuesday decided to extend the general tax exemption scheme (Abhay Yojana) till June 30, 2021. The earlier deadline for the scheme was May 31, 2021.

For the second year in a row, the Property Tax Department has saved the corporation’s income amid the pandemic. Last year, a tax exemption scheme was introduced for tax arrears. About 1.92 lakh arrears of the scheme paid about Rs 500 crore.
As a result, the civic body had earned about Rs 1,500 crore last year. At the same time, the municipal corporation had given an additional 5 per cent concession to the property owners apart from the previous concessions so that there would be no injustice to the property owners who pay regular taxes.

As the second wave of COVID-19 began, a lockdown was announced in March 2021 just before the start of the current financial year. With all businesses and employment at a standstill, there were doubts as to whether Property Tax revenue would increase this year or not. However, in the first two months alone, Pune residents paid a record Rs 736 crore in taxes. In May alone, Rs 526 crore was paid in taxes, the highest ever.

Most of the 1.92 lakh property owners who participated in the Abhay Yojana last year have paid their tax on time this year too. The civic administration has also brought in a substantial number of new properties in its jurisdiction. As a result, the number of taxpayers has increased this year and has also contributed to the increase in revenue from Property Tax.

“Property owners who pay tax by May 31 every year are given a 5 per cent rebate in general tax on behalf of the municipal corporation. Against the backdrop of COVID-19, it has been decided to extend the scheme till June 30 just like last year,” said PMC Standing Committee Chairman Hemant Rasne.