The penalty on property tax on unauthorised residential flats measuring 600 square feet or less across all the municipalities in the state has been waived off. The government first extended the sop to municipal corporations, including Mumbai, just before the civic poll season began. The state cabinet Tuesday approved the perk even for smaller municipal councils.
Reaching out to the lower and the middle class, the government had further decided that the concession would be applicable in retrospective effect for all municipalities from now onwards. Replicating the formula applied earlier in case of Mumbai and the other municipal corporations, the government has said that the unauthorised properties measuring between 601 and 1,000 sq. ft will have to pay 50 per cent more property tax as penalty and those measuring more than 1,001 square feet will have to pay 100 per cent more tax.
The development also means that the state government has now taken the right of fixing the extent of the levy from all the municipalities across the state. Officials, however, clarified that the revenue will continue to flow into the respective civic coffers.