U2 zone land is the short hand for Urbanisable Zone 2 land. This means land which is available and able to be urbanised, such as by the installation of houses or retail outlets, houses or retail outlets.
A non-agriculturist can now buy agricultural land
Previously in the State of Maharashtra, India, a non-agriculturist could not acquire agricultural land without the prior approval of the Collector. On 1 January 2016, an amendment was made to the existing law to allow a non-agriculturist to acquire agricultural land.
The amendment, which came into force from 1 January 2016, was made in the form of adding a sub-section to Section 63 of the MTAL, whereby the following lands would be excluded from the purview of Section 63 of the MTAL:
Land situated within the limits of a Municipal Corporation; or
Land situated within the limits of a Municipal Council; or
Land situated within the jurisdiction of Special Planning Authority; or
Land situated within the jurisdiction of New Town Development Authority; or
Any land allocated for residential, commercial, industrial or any other non-agricultural use as proposed in the draft/final Regional plan or Town Planning Scheme prepared under the Maharashtra Regional and Town Planning Act, 1966.
In short, a non-agriculturist can now acquire agricultural land for non-agricultural purpose (residential/commercial/industrial), if such land falls under any of the five exceptions to Section 63 of the MTAL as mentioned above.
Time frame for using the land for non-agricultural purpose: It is imperative for the person who acquires the agricultural land for residential/commercial/industrial or any other non-agricultural purpose to put the land to such use within a period of 5 years from the date on which the land was transferred to him. If the period of 5 years lapses, then the Collector may grant an extension of another 5 years after payment of non-utilization charges which will be determined at the rate of 2% of the market value of such land per annum.