Pune: The Pune Municipal Corporation (PMC) is considering reintroducing the ‘Abhay Yojana’—an amnesty scheme aimed at helping property tax defaulters clear their dues with waivers. However, the move has sparked debate, as data reveals that over 1 lakh defaulters who previously benefited from the scheme have defaulted again.
PMC Faces a ₹700 Crore Property Tax Shortfall
PMC has set a property tax collection target of ₹2,727 crore for 2024-25, but as of now, only ₹2,050 crore has been collected. With a shortfall of ₹700 crore, the administration is seeking ways to increase revenue. Additionally, the Maharashtra state government’s stay on tax collection from newly merged villages has further impacted PMC’s finances.
To address the shortfall, PMC is exploring the possibility of launching another round of the Abhay Yojana, which could be implemented next month. However, this has raised concerns among taxpayer groups and municipal officials.
Previous Abhay Yojana Led to ₹274 Crore in Waivers
PMC’s earlier Abhay Yojana schemes (2020-21 and 2021-22) benefited 2,16,137 defaulters, leading to ₹274 crore in waived penalties and interest. Despite this relief, many beneficiaries defaulted again, raising doubts about the scheme’s effectiveness.
Additional Commissioner Prithviraj B.P. clarified that discussions on the Abhay Yojana are still in the early stages, stating, “We are assessing whether the scheme should be introduced in this financial year or the next. If implemented, measures will be taken to ensure repeat defaulters do not benefit.”
Public Opposition: ‘Unfair to Honest Taxpayers’
Citizen groups and former municipal corporators have strongly opposed the proposal, arguing that the scheme benefits habitual defaulters while honest taxpayers receive no relief.
Vivek Velankar, President of Sajag Nagrik Manch, stated, “PMC has already implemented this scheme twice, yet over 1 lakh defaulters have defaulted again. This proves that the scheme is ineffective and unfair to honest taxpayers. PMC should reconsider its approach.”
Former corporators Ujwal Keskar, Suhas Kulkarni, and Prashant Badhe suggested strict enforcement instead of amnesty, saying, “The same individuals evade taxes every year. Instead of rewarding them, PMC should intensify enforcement by sealing properties and taking legal action.”
In the previous year, PMC sealed 1,200 properties, but 250 of them remain unauctioned. Critics argue that PMC should prioritize strong enforcement rather than another amnesty scheme, which may encourage further tax evasion.