Wakad Housing Societies Receive NA Tax Notices Despite Government Abolition Announcement
Housing societies in the Wakad area of Pune’s Pimpri Chinchwad region have been taken by surprise as they received notices demanding payment of pending Non-Agricultural (NA) taxes. This comes despite an announcement in October 2024 by the Maharashtra government, led by Chief Minister Eknath Shinde, that it would abolish the NA tax.
The NA tax, a long-standing levy that dates back to the British era, had been a contentious issue for housing societies in the state. It was applied to properties that were outside agricultural use but came under municipal corporation or municipal council jurisdiction. However, the government’s decision to scrap this tax had been a relief for many housing federations, which had lobbied for its removal for years. In a cabinet meeting held in October 2024, the state government officially announced that the NA tax would no longer apply, resolving a long-standing grievance. Despite this announcement, residents of housing societies in Wakad have started receiving notices from local authorities demanding payment of the NA tax. A member of the Riddhi Siddhi Heights Society in Wakad, Vishal Titre, shared his surprise upon receiving the notice. “We had read in the news that the government had abolished the NA tax,” he said. “We were not expecting the demand this time, but we got it again last week. The notice states that the society must pay the dues within seven days.”
Similarly, residents of the Alliance Nisarga White Lilly Housing Society in Wakad, who had never received such a notice before, were confused upon receiving the NA tax demand for the first time. “We were unaware of the NA tax system,” explained Sushant Kulkarni, a member of the society. “Our society has been around for eight years, and we’ve never received a notice for this tax. When we looked it up online, we found out that the government had abolished it. Now we’re unsure whether the notice is valid.”
A senior official from the district administration confirmed that the cabinet’s decision to abolish the NA tax was made just before the state assembly elections in October. However, the government resolution outlining the specifics of this decision had not yet been released. “We have not received any formal guidelines instructing us to stop collecting the NA tax,” said the official. “As per standard procedure, we begin sending demand notices for NA taxes in August each year, and the recovery process continues until March of the following year.” The official further explained that until new instructions are issued by the government or the district collectorate, local talathi offices will continue to send out demand notices for the NA tax. “We are following the usual process since we haven’t received any instructions to halt the collection.”
The confusion has left many residents uncertain about the validity of the notices they have received, as the government’s announcement of the tax abolition has not been fully implemented on the ground. For now, the residents are left waiting for clarification from the government regarding the future of the NA tax and whether they are still required to make payments for the current year. This situation highlights the communication gap that can arise when significant policy changes are announced but not swiftly followed up with clear instructions and implementation at the local level. As housing societies in Wakad await further clarification, the issue remains a point of concern for residents who hoped the abolition of the NA tax would bring immediate relief. Until official guidelines are issued, housing societies across the region continue to face the challenge of navigating a confusing and unresolved issue that affects both property owners and local authorities.
