In an important development, the Bombay High Court has declined to grant a stay on the collection of property tax by the Panvel Municipal Corporation (PMC). This decision came in response to a Public Interest Litigation (PIL) filed by the Kharghar Colony Forum, a citizens' group, challenging the property tax collection.
A segment of residents within the PMC jurisdiction has been contesting the retrospective property tax collections imposed by the corporation. The PMC, established in October 2016, formally approved a proposal in January 2019. While the corporation has been levying taxes since its inception, citizens argue that they should only be liable for taxes from the time the proposal was passed. They contend that they had already been paying taxes to CIDCO during the interim period and have approached the court to contest the imposition of retrospective and dual taxes.
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"During the hearing of the petition on March 6, Chief Justice Arif Doctor declined to issue a stay on tax collection by the corporation within its jurisdiction," stated Advocate Kedar Dighe, representing the corporation. However, the final verdict on the petition is scheduled for March 26.
The PMC encompasses approximately 3.50 lakh property holders, including residential, non-residential, commercial, and industrial properties. In the current fiscal year, spanning from April 1, 2023, to March 6, 2024, the civic body has already amassed around Rs 270 crores in property tax revenue. Property tax serves as the primary revenue source for the corporation, and civic chief Ganesh Deshmukh has urged residents to contribute towards the city's development by fulfilling their tax obligations.
Members of the Kharghar Colony Forum have expressed their intention to review the court's decision and devise their next course of action accordingly.