Thane Civic Body Grants 90% Penalty Relief to Property Tax Defaulters, Draws Criticism from Regular Taxpayers

The Thane Municipal Corporation has introduced a scheme offering 90% waiver on penalty amounts for property tax defaulters, aiming to clear pending tax receipts before the fiscal year ends. While officials expect to recover pending dues, the move has drawn criticism from citizens who pay their taxes on time.
Thane Civic Body Grants 90% Penalty Relief to Property Tax Defaulters, Draws Criticism from Regular Taxpayers

Thane, March 16, 2026: The Thane Municipal Corporation introduced a scheme granting 90% relief on the penalty amount for property tax defaulters in a bid to clear pending tax receipts. The announcement was made recently by Thane Mayor Sharmila Pimplolkar following requests, officials said .

Scheme Details

Under the plan, residential property owners who pay their pending tax will have to pay only 10% of the penalty amount while the other 90% will be waived off. The property tax payments can be made at all ward-level collection centres from 10:30 am to 5 pm on working days, and from 10:30 am to 4 pm on weekends and public holidays. Online payments are available via the TMC website and through UPI apps. To simplify payments, the TMC also introduced a WhatsApp and chatbot system .

Financial Impact

Presently, the corporation is staring at ₹308 crore as tax arrears, on which ₹191 crore is expected to be recovered as penalty. However, after the 90% waiver, the corporation ends up losing roughly ₹172 crore collectively, provided all defaulters utilise this scheme and pay their dues .

The recovery target of property tax for the 2025-26 fiscal year is ₹840 crore, of which ₹670 crore has already been collected. According to an official, the corporation is staring at a huge deficit in terms of tax defaults and, with the fiscal year ending soon, wants to maximize its recovery .

Citizen Reaction

Meanwhile, alert residents claimed the provision was unjust to those paying their bills on time. The scheme has drawn criticism from regular taxpayers who feel penalized for their timely compliance while defaulters receive significant concessions .