At least three municipal corporations including Nagpur, which have not repaid the loan taken for water supply projects, is costing deduction from stamp duty share payable to them from State Government at least for 10 years. Such a deduction has started from this year only. Under the provisions of Maharashtra Municipal Corporation Act, one per cent stamp duty surcharge is recovered in case of property transactions in cities. Later, State Government releases a share from stamp duty surcharge recovered, to respective municipal corporations. Accordingly, for the year 2022-23, Urban Development Department (UDD) of State Government has released an amount of Rs 420 crore as first instalment of the total amount due to 26 municipal corporations. However, in case of three such urban local bodies including Nagpur Municipal Corporation (NMC), an amount of Rs 31.42 crore is to be deducted from the amount payable to them. As per the communication signed by Shrikant Andge, Deputy Secretary, UDD, the deduction has been done in case of NMC and municipal corporations of Chhatrapati Sambhaji Nagar and Vasai-Virar as these bodies failed to repay the loan taken from Life Insurance Corporation through Maharashtra Jeevan Pradhikaran for water supply projects. Earlier this year, UDD had given nod to one-time payment of Rs 31.42 crore to Maharashtra Jeevan Pradhikaran.

 

However, since the responsibility for repayment of loan taken for water supply projects was of the respective municipal corporations, the UDD has decided to deduct Rs 3,14,20,000/- per annum (10 per cent of the total amount paid to Maharashtra Jeevan Pradhikaran) from stamp duty share payable to the three municipal corporations. Such a deduction will be done for a period of 10 years. Accordingly, of a total amount of Rs 46,83,30,578/- released as stamp duty share to Nagpur, Chhatrapati Sambhaji Nagar, and Vasai-Virar municipal corporations, an amount of Rs 3,14,20,000/- has been deducted. After deduction, the final share released to these three bodies is Rs 43,69,10,578/-. As far as NMC is concerned, UDD was to pay Rs 19,30,41,397/- to it, and released Rs 17,39,18,197/- after deducting Rs 1,91,23,200/-. Chhatrapati Sambhaji Nagar was to get Rs 7,14,45,427/- but got Rs 5,91,77,327/- after deduction of Rs 1,22,68,100/-. Vasai-Virar got Rs 20,38,15,054/- after deduction of Rs 28,700/- only from the due amount of Rs 20,38,43,754/-. Thus, Nagpur has borne the highest deduction from the stamp duty share payable to it. Vidarbha region has four municipal corporations including NMC. Apart from NMC, the stamp duty share released to other three municipal corporations in Vidarbha is as follows: Amravati -- Rs 4,34,82,182/-, Akola -- Rs 2,77,24,308/-, and Chandrapur -- Rs 80,46,554/-