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Maharashtra scraps separate non-agricultural permission for land conversion; abolishes annual NA tax
Under the new provisions, approval for building plans granted by the Town Planning Department or relevant local authorities will now serve as deemed NA permission.
The government stated that these amendments aim to streamline land administration, reduce compliance burdens, and increase transparency in the land conversion process. (Source: Express Archives)
In a landmark reform to Maharashtra’s land revenue system, the state government has eliminated the requirement for obtaining separate non-agricultural permission to convert agricultural land for non-agricultural use. The change was officially notified through a gazette on Wednesday.
Revenue Minister Chandrashekhar Bawankule explained that the decision was made under the guidance of Chief Minister Devendra Fadnavis, emphasising that this move would simplify procedures and enhance ease of doing business.
Under the new provisions, approval for building plans granted by the Town Planning Department or relevant local authorities will now serve as deemed NA permission. This removes the need for a separate approval from the District Collector for land conversion.
Officials noted that the change is expected to streamline the process by reducing delays and duplication in approvals, particularly in urban and peri-urban areas where land conversion and construction approvals often overlap.
Additionally, the government has abolished the recurring annual non-agricultural (NA) tax. Instead, a one-time ‘conversion premium’ will be charged based on a tiered system, calculated according to the land’s current market value. The requirement for a separate ‘sanad’ (conversion certificate) to avail bank loans has also been removed.
To further enhance efficiency, the Revenue Department has integrated the reform with digital systems. Construction permission applications can now be submitted online via the Building Plan Management System (BPMS) or AutoDCR platforms. Once permission is granted, mutation entries in the 7/12 land records will be automatically updated through the department’s computerised system.
The government stated that these amendments aim to streamline land administration, reduce compliance burdens, and increase transparency in the land conversion process.
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