Pune: PMC's 32 Merged Villages May Get Property Tax Relief As NCP Pushes For Rate Cut
· Free Press Journal

The issue of property tax assessment in the 32 villages merged into the Pune Municipal Corporation (PMC) has resurfaced, with the NCP and the NCP-SP demanding a 35 per cent reduction in fair rent rates to provide relief to residents.
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A proposal seeking major amendments to the taxation system in the merged villages has been submitted to the PMC Standing Committee. Opposition Leader Nilesh Nikam and NCP-SP group leader Kaka Chavan announced the details during a press conference on Monday. Corporators Dattatray Dhankawade, Suhas Tingre and Ajit Ghule were also present.
Speaking on the issue, Nikam said there is widespread dissatisfaction among residents over the high property tax burden in the merged villages. Due to objections over the steep tax rates, the state government had earlier suspended the recovery of tax arrears. The government had also directed the municipal administration to ensure that the property tax in the merged villages does not exceed twice the amount levied by the respective Gram Panchayats. However, residents claim no concrete action has been taken so far.
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The proposal recommends reducing the annual fair rental rates used for tax assessment by up to 35 per cent and introducing revised rates. It seeks the creation of separate assessment divisions for all 32 merged villages, with a corresponding reduction in the rates specified under Annexures ‘A’ and ‘B’.
However, the proposal excludes open plots, mobile towers, and IT-sector-related properties from the proposed concession. It also suggests that only 15 per cent of the built-up area of properties in the merged villages should be considered as carpet area for taxation purposes.
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For residential and commercial properties not registered with Gram Panchayats, the proposal recommends a one-time tax assessment based on electricity bills, shop licences, or other government-issued documents.
If approved by the Standing Committee and subsequently by the General Body, the proposal could provide significant financial relief to thousands of property owners in the merged villages.