PUNE: Two amnesty schemes started by Pune Municipal Corporation (PMC) to reduce the number of property tax defaulters has not only caused a loss of Rs 274 crore but also led to owners of around one lakh properties not paying again.
According to data obtained by Sajag Nagrik Manch, a citizens’ group, this was the situation as of Dec 2024.
The civic administration announced a discount for nearly 2.5 lakh taxpayers in the amnesty scheme in the financial year 2020-21 and for 66,454 delinquent property owners in 2021-22 to recover outstanding taxes.
Information obtained by Sajag Nagrik Manch shows that of the 1,49,683 property owners who benefitted in 2020-21, a total of 63,518 (42%) were defaulters again by Dec 2024. These waivers and penalties caused PMC to lose Rs 210 crore.
Similarly, of the 66,454 property owners who benefitted in 2021-22, as many as 44,685 (67%) were delinquents again by Dec 2024. The loss to PMC amounted to Rs 64 crore.
Vivek Velankar of Sajag Nagrik Manch said, “Such amnesty schemes are not effective as they are not a deterrent to the defaulters. On the other hand, it is a discouragement to diligent taxpayers.”
He added that they expressed concern about these schemes saying that they would affect citizens who pay their taxes on time every year.
“We said that defaulters could wait for amnesty schemes to pay their dues which would be a drain. Our fears have come true. These defaulters should not be allowed to avail any other amnesty scheme,” Velankar added.
He sought information via an RTI plea from PMC about “how many property owners who benefitted from these amnesty schemes were defaulters again by Dec 31, 2024, and had not paid their taxes.”
Civic officials said they are taking stringent action against such defaulters and are charging fines, attaching their properties and recovering dues by auctioning them.
“The civic administration has taken several steps to recover property tax from defaulters. We attach their properties. Special squads have been formed at the ward office level for recovery of dues,” Madhav Jagtap, head of PMC’s property tax department, said.
Prompt tax payers said the amnesty scheme should not be a regular feature and it is not good for civic discipline. “Too many amnesty schemes send out a wrong message to taxpayers. It is discouragement for those who pay on time,” said Shantanu Gosavi, a resident of Paud Road.
Kothrud resident Gauri Kulkarni said that funds lost in the waiver could have been utilised for development works. “The administration should not give the waiver. It has been causing loss of funds. The city needs these funds for roads and repairs,” she added.
