In a decision taken in a cabinet meeting on Wednesday, April 27, 2023, the Maharashtra government has approved a 40% tax exemption in property tax for self-occupied houses in Pune.
The exemption will be applicable to all residential properties. This includes flats, apartments, and bungalows, that are owned and occupied by the owner. The property must be located within the limits of the Pune Municipal Corporation (PMC).
The government has said that the exemption will provide relief to taxpayers and encourage them to live in their own homes. It will also help to boost the real estate sector in Pune.
Role of the Property Owners
The exemption will be available for the assessment year 2023-24 and subsequent years. To avail the exemption, property owners will need to submit an application to the PMC along with proof of ownership and occupancy.
The property owners and developers in Pune welcome the decision. They have said that the exemption will make it more affordable for people to own their own homes.
The tenant is not liable to pay property tax for the self-occupied house of the landlord. However, if the tenant is subletting the property, they will be liable to pay property tax for the sublet portion of the property.
The PMC has conducted a survey to assess the impact of the 40% tax exemption on self-occupied houses. The survey found that the exemption has had a positive impact on the real estate sector in Pune. The number of property transactions has increased and the prices of properties have also increased.
The PMC has said that it will continue to monitor the impact of the exemption and make necessary changes as required.
The 40% tax exemption for self-occupied houses in Pune is a welcome move by the government. It has provided relief to taxpayers, encouraged them to live in their own homes. This also provides a boost to the the real estate sector in Pune. The PMC is committed to monitoring the impact of the exemption and making necessary changes as required.