Nashik Gets Major Relief As Tax Hike Averted Due To Standing Committee Delay

Nashik: Although the standing committee members of Nashik Municipal Corporation have been elected, tax and tariff hikes in the city have been averted this year due to the complete restructuring of the standing committee by Friday (February 20) not being done. As per the provisions of the law, tax hike proposals must be approved by the standing committee by February 20. However, this proposal could not be approved due to the non-formation of the standing committee. Due to this, the administration will not be able to implement any new tax hike or tariff hike in the financial year 2026-27. This has come as a big relief to Nashik residents.

After the BJP got a clear majority in the seventh five-yearly elections, the elections for the posts of mayor and deputy mayor were held. After that, the general assembly elected 16 members of the standing committee. However, the process of electing the chairman of the standing committee has not been completed yet.

The chairman election is likely to be held on Wednesday (February 25). Therefore, the budget for 2026-27 will be presented only after the election of the Standing Committee Chairman. Due to this delay, the tax hike proposal was stuck and could not be approved.

What does the provision in the law say?

The Standing Committee has the power to determine taxes and rates in the municipal area. If the administration (from the commissioner) proposes a tax hike, it is mandatory to obtain the approval of the Standing Committee by February 20. If approval is not received within this period, the tax hike proposal cannot be included in the budget. This time, this period was missed, as the Standing Committee did not come into existence and the tax hike proposal was delayed.

NMC's 'Mega Plan' and its consequences

The Municipal Corporation administration has prepared a 'Mega Plan' of major development works in the backdrop of Simhastha Kumbh Mela 2027. Funds are needed for this, and there was preparation to submit a tax hike proposal. However, this proposal was stuck due to the delay in the formation of the Standing Committee. Now, citizens have received financial relief as there is no tax hike in the next financial year.

After the election of the Standing Committee Chairman, the budget will be presented, and it will be clear that there is no new tax hike in it. This incident is causing satisfaction among the Nashik residents. The municipal administration is now likely to focus on raising funds from other sources for development works.