BMC Allotted 10 Months to Collect Rs 4950 Crores in Property Tax for Current Fiscal Year

The Brihanmumbai Municipal Corporation (BMC) met its adjusted property tax collection goal by extending the deadline by two months. However, the civic body will now have only 10 months to collect property tax for the current fiscal year.

As of May 25, the BMC amassed a sum of Rs 4,846.38 crore in property tax collections, with Jogeshwari, Andheri, and Vile Parle contributing the highest amount of Rs 463.58 crore. However, for the financial year 2023-24, the BMC fell short of its target, managing to collect only Rs 3,195 crore by the end of the fiscal year, significantly below the intended Rs 6,000 crore mark.

According to a senior civic official, this shortfall was due to the late issuance of property tax receipts, prompting the extension of the payment deadline to May 25, 2024.

The civic body extended the deadline till May 25 and also revised the tax collection Rs 4500 crores. The Tax Assessment and Collection Department of BMC stated that it has collected Rs 356.38 crore, 8 percent more than the revised target.

To facilitate property tax payments, civic amenities centers in all departments were kept open on Sundays, Saturdays, and public holidays. During this period, officers and employees of the taxation and collection accounts were available in all departments to resolve property tax-related issues.

Out of the total property tax collection of Rs 4,856.38 crore, BMC collected Rs 1,425.13 crore in the City, Rs 2,455.9 crore in the Western Suburb, and Rs 968.13 crore in the Eastern Suburb. Additionally, Rs 10.48 crore was collected from government and railway properties.

According to the Tax Assessment and Collection Department of BMC, the highest collection of Rs 463.58 crore was recorded in Jogeshwari, Andheri, and Vile Parle (K East ward), followed by Rs 456.66 crore from Bandra, Khar, and Santacruz (H East ward). The least collection of Rs 33.95 crore came from Dongri, Bhendi Bazar, and Mohammed Ali Road.

Property holders who have not paid their taxes by May 25 will be charged a penalty of 2 percent. Despite achieving the revised target, the BMC will have only 10 months for the collection of property tax for the financial year 2024-25. The civic body has set a target of Rs 4950 crore for the current financial year.