A property tax is an ongoing fee that property owners are required to pay annually while the specific amount of the tax depends on the property’s location. This article exclusively concentrates on property tax in Bangalore, serving as a helpful guide for homeowners to facilitate the process of paying their property taxes smoothly and conveniently. Keep reading to learn all the essential details regarding property tax payments in Bangalore.
In Bangalore city, the owners of residential properties are liable to make a property tax payment to the Bruhat Bengaluru Mahanagara Palike (BBMP) each year, this is used by the municipality to provide civic facilities such as maintenance of roads, planning better sewer systems, public parks, education, etc.
As for the year 2018 in November, BBMP had proposed an amendment in the Karnataka Municipal Corporations Act that mentioned doubling the property tax payment for the owners who had violated the laws or have deviated from the already approved plan. Adding on, even the civic officials who were found not abiding by the actions that were to be taken against such owners had the fear of going to jail.
The property tax payment in BBMP is determined using a Unit Area Value (UAV) system, which requires property owners to contribute based on the projected earnings from their properties, taking into account the location and purpose of the residential property. This implies that the property tax amount varies depending on the specific zone. The BBMP’s jurisdiction is divided into 6 value zones, aligned with the guidance value set by the Department of Stamps and Registration.
To help you understand better, here is the formula that is used to calculate property tax:
Property Tax (K) = (G – I) x 20% ,
Where,
G = X + Y + Z and I = G x H/100
G = Gross unit value of an areaÂ
X = rate of property x area of property given to tenant x 10 months
Y = per sq ft rate of property x area of property under the owner x 10 months
Z = per sq ft rate of vehicle parking area x Vehicle parking area x 10 months
H = Percentage of depreciating rate (depending on the age of the property)
The best and easiest way to pay property tax is via the BBMP website, using a credit or debit card, or even by Internet banking.
Note – The property details can be incurred through the base application number or even by the property identifiers or PID.
To get the PID of your property, you must:
In case you make all your payments before May 30 of every year, you are entitled to a rebate of five per cent. Also, if you choose to pay in two instalments, there will be no interest charged: on the first instalment if paid by May 30, and the second if paid by November 30, each year.
Note – When you make the payment, make sure the system updates it and there are no outstanding amounts shown against your account.
Note – You will need to enter the assessment year and application ID to print your property receipt.
There are about 19 lakh-odd properties under the BBMP, and as per the recent update of January 28, 2021, the BBMP has recorded to have collected Rs 2,483 crores as opposed to Rs 2,467 crores in the corresponding period 2019-20. Irrespective of the Coronavirus pandemic (COVID-19) the collections were not affected.
The property owner in Bengaluru will now have to pay an additional fee for the doorstep waste pickup service, that is, Rs 200 per month. On the other hand, commercial property owners need to pay Rs 500 per month, for the same service. This is in addition to the Solid Waste Management (SWM) cess that ranges from Rs 200 – Rs 600 as of now and is expected to experience a 50% waiver SWM cess for societies composting waste that are yet to be approved.
The BBMP extended the deadline to avail of a 5% rebate on property tax, from April 30 to May 31, early in 2020, considering the Coronavirus pandemic.
Starting in 2020, the cabinet has decided to increase the property tax by two-fold in cases where residential property owners fail to adhere to their building plans. According to the law minister, JC Madhuswamy, this proposal has been authorised and the necessary amendment to the KMC has been passed to empower the BBMP to impose this penalty.
There are intentions to increase the property tax in Bangalore by a range of 15% to 30% for both residential and non-residential properties. Basavaraju, the BBMP special commissioner, has affirmed that the adjustment of tax rates was scheduled for the previous year (2020), but it was not implemented due to administrative issues.
KMC (Karnataka Municipal Corporation Act) grants the BBMP the authority to periodically adjust the property tax every 3 years. This is necessary to support the financially challenged civic agency and achieve its revenue goals.
The KMC Act grants authority to BBMP officials to seize the immovable assets of individuals who fail to comply. This amendment, which empowers BBMP officials, incorporates a provision from the Land Revenue Act into the KMC Act. The commissioner proposed this change, and it was approved by the government.
The ICCC and the Control Center which are a Rs 109-crore project are approved to be the brains of the smart city project. The decisions concerning city management and disaster management will take place here via a common helpline number, mobile application, and web portal.
The Bengaluru Smart City Ltd is providing funding for this intelligent urban development initiative, which will involve the participation of various organisations such as BBMP, BWSSB, BESCOM, BMTC, Namma Metro, and City police. The primary focus of the command centre will be on enhancing mobility, managing solid waste, and promoting better health within the city.
We hope that the article above, based on the BBMP property tax, has helped fellow Bengaluru property owners with all the necessary details required on how to pay the property tax, its benefits, and reasons.
BBMP is a short form for Bruhat Bengaluru Mahanagara Palike. It is an administrative body that looks after the civic amenities and infrastructural needs of the Greater Bangalore metropolitan built-up area.
BBMP has come up with a system to help establish a GIS-based database in the specific applications with updated facilities that are related to the properties, streets, and zone boundaries. This provides features to map tax-paying properties that have their own unique PIDs (Property Identifiers) that are associated with the updated Property Tax collection as layers of information on the GIS map.
(1.) Visit the BBMP official website
(2.) Select the ‘Citizen Services’ option, where you’d be redirected to a new page
(3.) Now, click on ‘GIS-Enabled Property Tax Information System’
(4.) Register your first number and mobile number for the system to locate your property on the map. On the other hand, if it fails, you can enter the previous payment Application ID
(5.) Your new PID number will be displayed
Follow these steps to get your new PID number:
Follow these steps to get paid receipt of BBMP tax online:
You have the option to submit the updated property tax forms for the period of 2023-2024 until the deadline of March 31, 2024.
You have the option to review the records of the past year’s transactions. You can examine either the property tax or the SWM (Solid Waste Management) cess receipts. Additionally, you can also review the official documentation related to your apartment. The sale deed or title deed may contain the PID number mentioned.
The authority imposes a monthly interest rate of two per cent on the tax amount due in case of delayed payment.
To locate your PID, refer to your khata certificate. Subsequently, proceed to the official BBMP website (https://bbmptax.karnataka.gov.in/) for online payment of your BBMP property tax. Upon reaching the website, select the ‘Property Tax’ category, leading you to the page for making property tax payments.
The municipal corporation of Bengaluru, known as Bruhat Bengaluru Mahanagara Palike, imposes a penalty interest rate of 2% per month. If property tax is not paid promptly, the relevant municipal authority has the right to send a notice requesting an explanation and to collect the outstanding amount.
Visit the designated website of the BBMP property tax portal, specifically at https://bbmptax.karnataka.gov.in/. Input the Property ID (PID) and the first three characters of the property owner’s name in their respective fields. Click on the Retrieve button.
