Aheaad of Kumbh Mela 2027, Nashik Civic Body Launches Rebate Scheme for Property Tax Defaulters

The Nashik Municipal Corporation rolled out an amnesty scheme for property tax defaulters on September 1, a desperate but calculated move to recover a portion of the staggering Rs 784 crore still unpaid. What makes the figure even heavier is that nearly half of it, Rs 327 crore, consists not of the principal tax but of penalties piled up over years of neglect.

Any defaulter who clears their dues between September 1 and October 31, will see 95 per cent of penalties wiped away. Delay the payment until November, and the relief drops to 85 per cent. The property tax department normally tacks on a 2 per cent monthly penalty for non-payment, with additional recovery costs for notices and warrants. That relentless accumulation of penalties has been the noose tightening around defaulters, but now the civic body is loosening it temporarily, as per a report in ET Realty.

The Kumbh Mela Factor

The civic administration is staring at the colossal expense of the upcoming Simhastha Kumbh Mela. Plans have already been drawn up for a Rs 15,000 crore expenditure, and the expenditure has been submitted to the state government for approval. The NMC’s share is pegged at 20 per cent, and the coffers are nowhere near prepared to handle that responsibility.

An official explained that they need to raise funds for their contribution. Recovering as much of the pending property tax as possible is the only way to ease the strain, as reported by ET Realty. 

A Familiar Script, Repeated

This is not the first time Nashik has witnessed such a move. Only last year, from October 1 to January 31, the civic body offered an identical amnesty: a 95 per cent rebate on penalties for those who cleared their dues within the window. That drive helped the corporation collect Rs 256 crore, surpassing the annual target of Rs 250 crore. The administration walked away with proof that leniency, paired with threat, works, the report added.

The corporation is under pressure to meet 100 per cent property tax collection targets set by the Centre’s 15th Planning Commission. Failing to do so risks losing access to central funds. That condition alone explains why the corporation oscillates between offering relief and hinting at harsher crackdowns; it has no room for permanent leniency.

As one official added,  that before taking stern action against the property tax defaulters, the authorised body decided to introduce an amnesty scheme. This way, they expect they can collect maximum dues.