PMC’s Abhay Yojana tax amnesty scheme deadline extended till October 15

Panvel’s Abhay Yojana is a property tax penalty waiver scheme introduced by the PMC to provide financial relief to citizens by waiving a significant portion of overdue property tax penalties when the principal tax amount is paid in full

PANVEL: After the Panvel Municipal Corporation (PMC) saw a collection of over ₹280 crore tax dues within 60 days of launching its Abhay Yojana tax amnesty scheme, the civic body has announced a 15-day extension for its deadline till October 15. The previously planned four-tier rebate system has been replaced with two straightforward slabs, with a 90% rebate on the penalty amount for dues cleared by September 30, and a 75% rebate for payments made during the new extension period from October 1 to October 15.

Tax audit doodle vector debt concept (rawpixel.com / Aum)

“We have decided to extend the Abhay scheme to provide an opportunity to all those who have not yet been able to avail its benefits,” stated PMC Commissioner Mangesh Chitale. “This is a golden chance for property owners to clear their dues without the burden of heavy penalties and contribute to the city’s development,” he added.

Panvel’s Abhay Yojana is a property tax penalty waiver scheme introduced by the PMC to provide financial relief to citizens by waiving a significant portion of overdue property tax penalties when the principal tax amount is paid in full. To streamline the process, the corporation has also launched the “Kar-Mitra” chatbot, an online tool for accessing tax and payments information instantly.

The scheme was launched in July this year, with an aim to recover ₹2,000 crore outstanding property tax dues, which is nearly 47% of the corporation’s 2025-26 budget.

In the two months since its launch, the PMC has collected ₹280.41 crore from 86,491 taxpayers. The strong public interest was highlighted on the final day of the original deadline of August 15, which alone saw a collection of over ₹4 crore.

The extension provides a crucial window for the administration to recover massive dues from key areas, including ₹336 crore from Kharghar, ₹227 crore from the Taloja industrial area, ₹191 crore from Kalamboli and Roadpali, ₹190 crore from Taloja Panchnand, ₹129 crore from Kamothe, and ₹84 crore from New Panvel and Khanda Colony.

To further encourage compliance among its more than 3.5 lakh taxpayers, the PMC is offering a slew of additional incentives, which include a 5% discount on the basic tax for paying the current year’s tax in full, a 2% discount for using digital payment methods, and another 2% discount for residents participating in eco-friendly initiatives like solar energy use, water conservation, and scientific waste management.

The citizens of Panvel have been opposing the scheme primarily because they feel it’s a penalty waiver rather than a tax waiver, leaving them burdened by the principal tax amount. They argue that the civic body is unfairly levying property taxes similar to ‘A-class’ cities like Mumbai and Thane, despite lacking the necessary infrastructure and amenities.

Responding to pressure from the citizens and political groups, the PMC has not only extended the scheme but also simplified its structure. The previously planned four-tier rebate system has been replaced with two straightforward slabs: a 90% rebate on the penalty amount for dues cleared by September 30, and a 75% rebate for payments made during the new extension period from October 1 to October 15.

However, the scheme’s financial success has been shadowed by widespread protests in the city. Last month, thousands of residents marched from the Chhatrapati Shivaji Maharaj Chowk to PMC headquarters, led by leaders from Congress, Shiv Sena (UBT), NCP (SP), MNS, and the Peasants and Workers Party (PWP).

“PMC’s tax model is designed to extract, not serve,” said former MLA and senior PWP leader Balaram Patil. “It ignores Panvel’s civic limitations and imposes rates that belong in Mumbai, not here.”

The scheme also faces a legal challenge from the Kharghar Cooperative Housing Societies Federation, which alleges that the PMC’s online portal is also levying arrears from 2016 to 2021, the period which is currently protected under an interim Supreme Court order. “Our members have paid dues from 2021 onwards as directed by the Supreme Court,” said Federation general secretary Commander (Retd.) S.H. Kalawat. “But the portal design compels payment for earlier years as well, which are judicially protected. This is coercive and violates the Court’s intent.”

The PMC has rejected the claim, stating that the SC order mandated citizens to clear their dues from 2021 onwards, with a two-month grace period after the judgment in 2024.

Deputy Commissioner Swaroop Kharge stated, “The demand is lawful. The SC order clearly states that if dues from 2021 onwards weren’t paid within two months, the Corporation is free to initiate recovery. That window has passed.”

He has further issued a public appeal, urging all defaulting property owners to seize this final opportunity to settle their accounts and support the funding of essential civic infrastructure across the Panvel region.