Maharashtra removes tax on residential properties up to 500 sqft!


On Saturday, New Year’s Eve, the Maharashtra government announced that it has completely removed property taxes for residential properties of up to 500 sqft in Mumbai.

Chief Minister Uddhav Thackeray announced the decision earlier in a meeting. According to the statement, CM has asked management to implement this decision immediately. On Saturday, Thackeray held a virtual meeting with Shinde, Mumbai district guardian Minister Aslam Sheikh, Mumbai suburban district guardian minister Aditya Thackeray, Mayor Kisori Pednekar and Chief Secretary Debashish Chakrabarti.

Eknath Shinde, Urban Development Minister quoted that, this tax waiver would benefit more than 16 lakh homes owners who live under 500 sqft in Brihanmumbai Municipal Corporation (BMC). Shinde said Shiv Sena, which rules the BMC, fulfilled an important guarantee he gave ahead of the 2017 BMC election.

The official said that after the launching of this scheme, BMC is expected to lose Rs 468 crore in revenue. BMC expected a property tax increase from Rs 6,738 crore in 2021-2021. But was able to raise Rs 4,500 crore due to the covid pandemic and the closure. BMC expects property tax of Rs  7,000 crore to be levied in 2021-2022.

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