Maharashtra’s Finance Minister Ajit Pawar presented the state budget for 2025-26 on March 10, unveiling several crucial policy changes and financial allocations. The budget emphasised infrastructure development, social welfare, and revenue generation.
Increase in Tax on 4-Wheelers
A significant announcement in the budget was the hike in motor vehicle tax for four-wheelers. The Maharashtra government has proposed one per cent increase in tax on CNG vehicles, which is expected to boost revenue for the state. Additionally, the maximum limit for motor vehicle tax is proposed to be raised from Rs 20 lakh to Rs 30 lakh.
Currently, CNG four-wheelers are taxed at a rate of 7 per cent to 9 per cent based on the type and price of the vehicle. The proposed increase will generate an additional Rs 170 crore in revenue for the state in 2025-26. Furthermore, a 6 per cent tax on electric vehicles priced above Rs 30 lakh has also been proposed.
Major Allocation for Ladki Bahin Yojana
One of the biggest social welfare announcements in the budget was the financial allocation for the Ladki Bahin Yojana. The Maharashtra government has earmarked Rs 36,000 crore for this scheme, which has been instrumental in strengthening the Mahayuti alliance’s position in the state.
Ajit Pawar revealed that as of July 2024, the actual expenditure under this scheme stood at Rs 33,232 crore. Initially, the budget estimate for 2024-25 was Rs 46,000 crore, but it has now been revised to Rs 36,000 crore. The scheme aims to provide financial assistance to women and empower them economically.
Mumbai to Get a Third Airport
A major infrastructure boost was announced in the form of a third airport for Mumbai, which will be developed near Vadhavan Port. This new airport is expected to become operational by 2030 and will cater to the growing air traffic demands in the region.
Additionally, Ajit Pawar announced that Navi Mumbai International Airport is set to begin domestic flight operations next month. The project is already 85 per cent complete, and a successful trial run has taken place.
In another development, Shirdi Airport will soon introduce night landing facilities, making air travel to and from the region more convenient.
Focus on Economic Growth and Development
Presenting the budget, Ajit Pawar emphasised that Maharashtra aims to be a key driver in achieving the Prime Minister’s vision of a developed India by 2047. The proposed changes in tax structures, infrastructure development, and social welfare schemes are expected to strengthen the state’s economy and improve public welfare.
