Mumbai, May 27: In a major relief to 17 lakh families settled in Mumbai, the Maharashtra Government today decided not to increase property tax for next five years for those who own or occupy less than 500 sq/ft property.
The decision was taken in the Cabinet meeting chaired by Chief Minister Devendra Fadnavis. The implementation would be with effect from April 1, 2015.
Fadnavis told reporters that in 2010 when the Municipal Corporation of Greater Mumbai (MCGM) shifted from rateable tax to capital based tax structure, houses below 500 sq.ft were exempted from increase in property tax for five years. [Maharashtra Govt mulls policy to impose VAT, entry tax on import of sand]
"BMC will soon increase property tax by 40 per cent. The government has decided to continue with the exemption for less than 500 sq.ft tenements," he said.
An ordinance will be promulgated for the same, the Chief Minister said.