Encouraged by a strong response from taxpayers, the Nagpur Municipal Corporation (NMC) is planning to reintroduce property tax rebates of up to 15%. Officials noted that nearly 44% of the city’s property owners had availed the incentive scheme last year.
According to tax department data, out of 8,28,497 registered properties, around 3,65,196 owners cleared their dues between April 1 and December 31, 2025, by availing rebates — translating to a participation rate of about 44.1%. Officials said this highlights the effectiveness of incentive-based collections in improving compliance and boosting revenue.
Of these, 1,47,560 property owners paid online, contributing Rs61.54 crore and availing rebates between 10% and 15%, with the NMC offering a total concession of Rs1.63 crore.
Meanwhile, 2,17,636 property owners opted for offline payments, collectively paying Rs49.48 crore. They received rebates ranging from 5% to 10%, resulting in a higher total concession outgo of Rs3.14 crore for the civic body.
Despite the larger number of offline transactions, officials pointed out that online payments generated higher revenue, reinforcing the NMC’s push towards digital tax collection.
Building on this trend, the tax department has proposed a revised rebate structure for the upcoming financial year and submitted it to municipal commissioner Vipin Itankar for approval. Once cleared, the proposal will move to the standing committee and then the general body.
Under the proposal, property owners who pay their dues by June 30, 2026, will be eligible for rebates of 15% and 10%, regardless of the payment mode, to encourage early payments.
For payments made between July 1 and December 31, 2026, a differential structure will apply — 10% rebate for online payments and 5% for offline transactions — continuing the push for digital adoption.
Officials said the revised plan aims to balance early collections with increased online transactions while ensuring steady revenue flow for civic works. “The previous scheme showed that rebates are a strong motivator. With nearly half the property owners participating, we expect even better compliance if the new structure is approved,” an official said.
If implemented, the scheme is expected to ease the financial burden on taxpayers while strengthening the NMC’s revenue base ahead of major infrastructure and service commitments.
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