The Patna Municipal Corporation (PMC) has rolled out a significant financial relief program for property owners in the city. In a major announcement, the civic body has declared a complete waiver of all interest and penalty charges on outstanding property tax. This initiative is effective immediately and offers a generous window for compliance, remaining active until March 31, 2026.
Key Details of the Bihar Municipal Property Tax Incentive Scheme
This relief measure is being implemented under the newly approved "Bihar Municipal Property Tax Incentive Scheme for Interest and Penalty Waiver – 2025." The core benefit of the scheme is straightforward: property tax defaulters are now required to pay only the original principal amount of their dues. The accumulated interest and penalties, which can often be substantial, are being completely written off.
However, to avail this benefit, property owners must clear their entire outstanding principal amount in a single lump-sum payment. This scheme acts as a One Time Settlement (OTS) opportunity, aiming to resolve long-standing property tax disputes and improve the corporation's tax collection efficiency. The scheme received its official sanction through a notification from the Urban Development and Housing Department of the Bihar government.
Who is Eligible for the Property Tax Waiver?
The scope of this waiver is extensive and designed to include a wide range of property owners within the limits of the PMC.
The scheme covers all categories of properties, including residential, commercial, industrial, and institutional buildings. Notably, it also includes properties owned by the central and state governments.
A crucial provision has been made for those with ongoing legal cases. Taxpayers who have disputes pending in any court or tribunal can also benefit, provided they submit written proof that they have formally withdrawn their case.
Furthermore, the scheme is also open to properties that have not yet completed the self-assessment process to obtain their holding numbers. For such properties, the assessment will be conducted based on the standards defined by the PMC.
A Final Opportunity with a Firm Warning
The PMC is actively urging all eligible property owners to seize this limited-period opportunity to clear their arrears without the burden of extra charges. This is a chance for many to make a fresh start and become tax-compliant.
Simultaneously, the corporation has issued a strict warning against any attempts to misuse the scheme. It has stated that every payment and the accompanying details submitted by taxpayers will undergo a thorough verification process. The PMC has made it clear that any attempt to provide false information or conceal facts will result in the immediate cancellation of the waiver benefit. Furthermore, such actions will invite further legal proceedings as prescribed by law.
This initiative represents a significant effort by the Patna Municipal Corporation to boost its revenue collection while providing much-needed relief to the city's residents, clearing the books of old pending tax demands.
