The Maharashtra Government’s Urban Development Department has announced an extension of the Amnesty Scheme concerning the transfer of land exempted for industrial purposes under Section 20 of the Urban Land (Ceiling and Regulation) Act (ULC). This scheme, initially established to facilitate easier and more affordable land transfers within the Maharashtra Industrial Development Corporation (MIDC) jurisdiction, offers significant financial relief to landholders.
Background of the Amnesty Scheme
The Amnesty Scheme, initially implemented as per a Government Resolution (GR) dated March 15, 2024, aims to simplify the process of transferring land allocated for industrial purposes. The scheme was introduced in response to requests from various industrial associations, including the Thane Small Scale Industries Association (TSSIA), which sought a reduction in the financial burden associated with transfer fees.
The scheme specifically addresses lands exempted under Section 20 of the ULC Act, which are primarily utilized for industrial development. These lands, under the MIDC’s purview, are crucial for supporting small and medium-sized enterprises (SMEs) and fostering economic growth in the region.
Extension and New Provisions
The latest GR, dated July 26, 2024, provides an extension to the Amnesty Scheme, offering significant benefits to plot holders. Under the revised terms, if plot holders avail of the scheme by September 15, 2024, they are required to pay only 50% of the calculated transfer fee along with interest. This represents a substantial reduction in the costs associated with land transfers, making it easier for businesses to legally transfer ownership or change the use of the land.
Moreover, the scheme offers additional flexibility by allowing plot holders to pay 75% of the transfer fee if they avail of the scheme between September 16 and December 15, 2024. This extension provides more time for landholders to take advantage of the reduced fees, thereby encouraging more compliance and regularization of land records.
Implications for the Industrial Sector
The extension of the Amnesty Scheme is a significant development for the industrial sector in Maharashtra, particularly for SMEs that often operate on tight budgets. By reducing the financial burden of land transfers, the scheme supports industrial growth and development, facilitating easier access to necessary land resources. It also aims to regularize and update land records, which can lead to better governance and planning within industrial areas.
For the government, this initiative helps in clearing pending cases related to land transfer fees, thus streamlining administrative processes and improving compliance. The extended deadline provides a practical timeframe for businesses to align with the new regulations, ensuring smoother transitions and fewer legal complications.
