NASHIK: Developers and builders will have to pay thrice the existing amount towards development charges from the new financial year.
After almost 15 years, the Nashik Municipal Corporation (NMC) has decided to increase the development charges by three times — from Rs105 per sqmt to Rs350 per sqmt — effective from April 1 this year. Moreover, there will be a 10% hike in the development charges every year.
The general body of the NMC approved the proposal of the civic administration to hike the development charges during a meeting held on Tuesday. Earlier, the development charges were increased in June 2010.
According to an NMC official, the administrative expenses of the civic body have increased by over 37%, but revenue through various taxes is not increasing at the same rate. The administrative cost will reduce if the revenue of the civic body increases.
“The NMC needs more funds for developing basic infrastructure in the city. New residential areas are also developing on the city’s outskirts. The NMC will need to raise Rs1,500 crore in two years as part of its 25% contribution of total funds for Kumbh Mela, which is slated to be held in 2026-27. Keeping all this in mind, the civic administration decided to increase the development tax,” the official said.
