The Bruhat Bengaluru Mahanagara Palike (BBMP) has extended the deadline for availing a five percent rebate on property tax payments from May 1 to July 31, a move prompted by the mounting dues in property tax and related cesses. As of May 18, the BBMP reported outstanding dues totaling Rs 711.71 crore from 3.63 lakh properties across eight BBMP zones.
Notably, a significant portion of the outstanding payments originates from the Mahadevapura zone, where 76,132 properties owe Rs 174.88 crore in property tax arrears. Similarly, the BBMP West zone has reported dues amounting to Rs 103.26 crore, with a notable Rs 41 crore attributed to Mantri Mall, which was shuttered for the third time in six months due to non-payment.
Following the mall’s closure on May 10, the Karnataka High Court intervened, issuing an interim order mandating the BBMP to reopen the mall. However, the court directed the mall developer to deposit Rs 20 crore with the BBMP by July 31, including an initial Rs 3.5 crore before June 1. The BBMP is considering challenging this directive, advocating for full payment by the specified deadline.
Across other zones, property tax dues stand at Rs 108.28 crore in the South zone, Rs 95.03 crore in Bommanahalli, Rs 24.20 crore in Dasarahalli, Rs 98.04 crore in the East zone, Rs 54.03 crore in Rajarajeshwari Nagar, and Rs 53.71 crore in Yelahanka.
Additionally, the BBMP is actively pursuing 16,657 revision cases where property owners have underpaid taxes, resulting in an estimated shortfall of Rs 231.77 crore in revenue for the civic body.
Munish Moudgil, Special Commissioner of BBMP (Revenue), expressed concern over the persistent accumulation of arrears despite daily reminders. He highlighted the imminent enforcement of recovery measures in accordance with the law.
In the fiscal year 2023-24, the BBMP had set a property tax collection target of Rs 4,600 crore, which was subsequently increased to Rs 6,000 crore for the 2024-25 fiscal, reflecting the municipality’s efforts to bolster revenue generation.
