NAGPUR: The Nagpur Municipal Corporation (NMC) is grappling with a significant financial setback as its property tax collections fell sharply this fiscal year, primarily due to a diversion of staff for various govt duties. From April 1 to November 26, NMC collected Rs128.96 crore — a decrease of Rs20.15 crore — compared to Rs149.11 crore collected during the same period last year.
Poor recovery will also impact NMC’s ability to carry out planned development works, as a significant portion of funds is tied to property tax revenue, which is crucial for executing civic projects and improving infrastructure.
The civic body set an ambitious target of Rs350 crore for property tax collection in 2024-25 fiscal year. The total collection so far includes Rs46.16 crore from arrears and Rs82.80 crore from current dues. Last year, the collection from arrears stood at Rs66.95 crore and current dues Rs81.48 crore.
A zone-wise comparison of data reveals a decline in collections across several areas which is attributed to redeployment of property tax staff for various non-revenue tasks.
Staff members were redirected to assist with Lok Sabha elections earlier in this year, conduct property damage survey following devastating floods in July, manage Maratha community survey as part of state welfare initiative, register beneficiaries for Ladki Bahin Scheme, and fulfil duties related to Maharashtra assembly elections which occupied staff for nearly six weeks.
With only four months remaining in current fiscal, NMC faces an uphill task to meet its Rs350 crore target set by municipal commissioner and administrator Abhijeet Chaudhari. To meet this target, the NMC needs to recover Rs2.46 crore every day in the remaining months of current fiscal.
Civic officials are increasingly concerned about the widening gap in revenue and its potential impact on municipal services and infrastructure development. As the fiscal year progresses, NMC must take swift action to address the gap and ensure that necessary funds are recovered to meet its financial obligations.
On Thursday, deputy municipal commissioner Milind Meshram convened a staff meeting of all 10 zonal offices and instructed them to intensify property tax collection drive. The staff were also instructed to start issuing warrants to tax defaulters.
Source Homevior.in
