BBMP collects record Rs 4,284 cr as property tax in 2024-25

BBMP chief commissioner Tushar Girinath revised the Rs 6000 crore property tax collection goal to Rs 5,200 crore, expressing confidence that the target will be met by the end of March 2025.
Bruhat Bengaluru Mahanagara Palike
Bruhat Bengaluru Mahanagara Palike (File Photo)
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BENGALURU: Bruhat Bengaluru Mahanagara Palike (BBMP) has achieved a new milestone by collecting Rs 4,284 crore as property tax for the year 2024-25. This proves to be a significant leap as compared to previous years, with the civic body having collected Rs 2,300 crore in 2022-23 and Rs 2293.81 crore in 2023-24.

Among the factors that helped improve the property tax collection is the One Time Settlement (OTS) scheme. Under the scheme, property owners were excluded from compound interest and penalties, thus bringing down the overall arrears of property tax significantly

While presenting the 2024 budget, the BBMP had aimed for a property tax collection of Rs 6,000 crore. However, BBMP chief commissioner Tushar Girinath revised this goal to Rs 5,200 crore, expressing confidence that the target will be met by the end of March 2025.

Data shared by BBMP shows it collected Rs 4,284.16 crore from April 1 to November 30. Mahadevapura zone topped the list with Rs 1,148 crore, followed by East zone with Rs 710 crore and South zone with Rs 606 crore. BBMP West zone collected Rs 483 crore, Bommanahalli zone collected Rs 418 crore, Yelahanka zone with Rs 408 crore, Rajarajeshwari Nagar zone collected Rs 335 crore and Dasarahalli zone managed to collect Rs 136 crore.

The significant rise in property tax collection is attributed to the One-Time Settlement (OTS) scheme, which encouraged many defaulters to clear longstanding arrears and revise self-assessment of properties. The scheme which was launched nine months ago, was extended twice. With the scheme ending on November 30, property tax defaulters have to pay a fine and interest while clearing their pending dues.

Further, BBMP officials said that they have served property attachment notices to owners and lamented that many failed to utilise the benefits of the OTS scheme. With the OTS period ending, the pending dues will only multiply for defaulters.

Officials warned that they would go ahead by taking action and reminded that the civic body is empowered to take stringent action against defaulters which include sealing and mortgaging properties.

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