State Govt reduces nazul land freehold charges to 2%
   Date :12-Mar-2024

State Govt reduces nazul land 
 
 
 
Staff Reporter
 
 
 
 
UNDER the special Abhay Yojana, Maharashtra Government has reduced the nazul land freehold charges from 5% to 2% of ready reckoner rate. The decision was taken in the Cabinet meeting held on Monday. It was done under Abhay scheme for Nazul lands leased for residential purposes in Nagpur and Amravati divisions. This is a historic decision and will benefit a major population of the city. In the first week of February this year, Deputy Chief Minister Devendra Fadnavis had made announcement to this effect at Paradsinga. But, the official declaration of the same was awaited, that came on Monday. This Abhay Yojana is applicable till July 31, 2025, only for those nazul lands which have been given by auction, premium or otherwise on rental basis for residential purposes. A premium of 2 per cent of the prevailing annual rate statement market value of the land will be charged for freehold of nazul land. Other terms and conditions for freehold will remain there. It will be mandatory to pay the annual ground rent of nazul land at the prescribed prevailing rate within the time limit before July 31, 2025. After that, if the ground rent is not paid, the arrears of ground rent and 10 per cent per annum and penal interest will be charged. MLC Pravin Datke has been constantly following up the issue for the nazul plot holders for the last 2 years.
 
He had raised this issue on several forums, including in the sessions of the State Legislature. On Datke’s pursuance, in 2022, Maharashtra’s Revenue Minister RadhakrishnaVikhePatil had taken a decision to reduce charges from 5 per cent of RR value to 2 per cent. But, no notification or circular or Government Resolution (GR) was issued and it remained on paper. Vikhe Patil had assured Datke that he would discuss the issue with Fadnavis to take final decision. Several meetings were held in the presence of Minister Radhakrishna Vikhe-Patil. Demands such as reduction of registration fee charged on renewal of lease, revision of penalty levied for breach of conditions, clarification of premium lease holders’ grievances, revision of freehold from 5 per cent to 2 per cent, were discussed. But confusion reigned supreme. Earlier, people had to pay 25% of ready reckoner value as freehold charges. During the regime of Devendra Fadnavis as Chief Minister, the freehold charges were brought down to 5% from 25 per cent of RR value. Last year Datke felt the charges should be reduced further as many people don’t afford even the 5% of ready reckoner rate. “There are a lot of people who use nazul land facing many problems.
 
I took serious cognizance of it and had met the Revenue Minister. Acting quickly upon my demand, the Minister had directed the officials to take necessary steps with regard to reducing the nazul land freehold charges. Unfortunately, the related circulars issued for reducing the charges were very vague. Since, there was no clarity in the order people could not avail the benefit,” Datke said while talking to ‘The Hitavada’. “People were happy with the lease renewal process of Nazul land that was in operation before 2018. Revenue Department changed it twice--in 2020 and in 2023- -. The GRs were also issued incorporating the changes. I demanded that both the GRs should be cancelled. The Minister has given the stay to both the GRs.Today’s decision has given major respite to a lot of people. I thank Chief Minister Eknath Shinde, Deputy Chief Minster Devendra Fadnavis for this decision,” stated Datke