Navi Mumbai: PMC to table proposal to offer insurance cover to those who property tax on time

The Panvel Municipal Corporation, which has been facing stiff resistance from residents over the collection of property tax, has come up with an innovative scheme to increase tax collection. Those residents who pay their property taxes on time will get accident insurance cover of up to Rs 6 lakh. Around three lakh property holders under the PMC could stand to benefit.

The civic body has decided to offer accident insurance to citizens who pay their property taxes regularly and on time. While the civic body will pay the premium, citizens will get up to Rs 6 lakh cover in case of any eventuality. A proposal regarding this will soon be tabled at the general body meeting of the corporation this month.

The insurance plan will cover the property tax holder, husband, wife and two children for up to 30 years. There will be no age constraint for the girl child, who can avail of the cover till her marriage. In addition, parents too will be covered as will children with disability till they get married.

However, the civic body has stipulated that the benefit will be provided for only one property, even if the property tax holder possesses multiple properties. The civic body expects to pay around Rs 2 crore premium for group insurance cover to benefit around 12 lakh citizens, including the around three lakh property tax holders.

Most importantly, during a year, one person or the whole family will get maximum coverage of Rs 1.25 lakh in medical expenses.

While the civic administration has denied that the scheme is to lure property holders into paying their taxes on time, there is a section of residents opposed to the arbitrary collection of tax. A senior civic official said the scheme was not for the citizens to pay property tax but for their welfare.

However, Leena Garad, a corporator from Kharghar at PMC and the president of the Kharghar Colony Forum, terms the scheme as an incentive to get property holders to pay their taxes. “The civic body is offering the incentive to attract property holders. But this will not work, as citizens want a reduction in taxes,” Garad said. She has been opposing the high rate of property tax and retrospective tax collection by the PMC. She had even procured a stay order on forceful tax collection till June 10. “We will see more details of the proposal in the general body and accordingly put across our views in the House,” Garad added.