Navi Mumbai: In a major relief to over 2.5 lakh property holders residing in CIDCO properties, the Urban Development Ministry has instructed the Municipal Commissioner to announce a decision on property tax penalty waivers in the coming days. The move is seen as the first significant breakthrough in the ongoing multi-year campaign led by the Kharghar Colony Forum against unfair taxation.
"A follow-up meeting to address the 65% property tax rebate under Section 129A and the issue of double taxation has been scheduled for the first week of July, signalling the government’s willingness to resolve long-standing grievances," former corporator and President of Kharghar Colony Forum, said.
The decision follows a meeting held on Thursday evening, at the Ministry in Mumbai, which was convened after persistent follow-ups by Garad. The meeting was based on an application submitted by Garad and supported by political leaders and officials.
Among those present were MP Shrirang Barne, MLA Prashant Thakur, Shiv Sena’s Metropolitan President Prathamesh Somn, District President Ramdas Shewale, Municipal Commissioner Mangesh Chitale, Additional Commissioner Ganesh Shete, and other key officials.
During the meeting, Garad and her husband Arjun Garad raised several critical issues on behalf of the 2.5 lakh CIDCO colony property holders.
One of the main concerns discussed was that despite CIDCO providing civic services and collecting service charges, the Municipal Corporation imposed property tax from October 1, 2016, to October 31, 2022, without delivering any municipal services or incurring related expenses. This was described as double taxation, which burdened property holders unfairly.
Another key issue was the 65% property tax rebate under Section 129A, which was granted to 31,000 properties in village limits, but denied to property holders in CIDCO colonies, despite no legal provision justifying such exclusion. The Urban Development Principal Secretary took serious note of this disparity and directed the Municipal Corporation to clarify its position in the next meeting.
"Additionally, the meeting clarified that property tax exemptions for houses up to 500 sq. ft. fall under the state government’s jurisdiction, and separate action will be required for that category," she added.
On the topic of penalty waiver for delayed tax payments, the Principal Secretary instructed that the Municipal Commissioner must announce a decision immediately. MP Shrirang Barne also recommended that the Pimpri-Chinchwad Municipal Corporation’s model be considered as a reference for implementing the waiver process, Garad added.
With these directions, the Urban Development Ministry has asked the civic body to submit its stance formally in the July meeting.
Calling the waiver directive a “first victory,” Leena Garad stated that the Colony Forum will continue its fight until both the double tax issue and the 65% rebate under Section 129A are successfully implemented for all CIDCO property holders.
"The penalty amount is about 593 crore and how much of it would be waived off would be decided by the PMC commissioner," she added. “This win belongs to every property holder who stood firm in the struggle. There is no need to worry—we are closer to justice than ever before,” she said.
