State may hike lease rent to up non-tax revenue by Rs 10,000 crore

Mumbai: Aiming to increase

non-tax revenue

by Rs 10,000 crore, the

state government

is considering to

hike lease rent of properties

given out for 30, 60 and 90 years to private parties; charges, fees and fines for traffic violations; and entertainment fees.

Minister for finance and planning

Sudhir Mungantiwar

met various department officials in Mantralaya and asked them to submit suggestions on how to increase fees or charges. The state government has estimated non-tax revenue of over Rs 19,000 crore for this fiscal, but may collect only up to Rs 16,600 crore owing to GST, which comes into force from July 1. “Hence, the government has decided to take steps to raise non-tax revenue by up to Rs 26,000 crore,” said the finance minister.

There over 1,700 leasehold properties in the city, mostly in south Mumbai, of which the lease on 700 properties has already expired. The state is considering increasing charges for lease extension, transfer of lease property or lease right. Mungantiwar said, “Besides lease rent, the state has 150 options to get non-tax revenue, including purchase or registration of vehicles and drink-driving fine.”