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Mumbai: BMC Issues Property Seizure Notices to Major Defaulters Over Rs 600 Crore Tax Arrears

By Amit Srivastava | Updated: November 21, 2024 17:57 IST

The Tax Assessment and Collection Department of the Brihanmumbai Municipal Corporation (BMC) has issued property seizure notices to major ...

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The Tax Assessment and Collection Department of the Brihanmumbai Municipal Corporation (BMC) has issued property seizure notices to major defaulters, including well-known construction companies in Mumbai, for failing to pay outstanding property taxes.

According to the civic body, ten major property owners owe a combined total of approximately Rs 600 crore in arrears. Despite repeated reminders, some of the largest defaulters have not cleared their dues, prompting BMC to issue property seizure notices, which include the arrears along with penalties.

“If payment is not made, auction proceedings will be initiated as per the Municipal Corporation Act,” stated a senior BMC official. He urged recipients of the notices to pay promptly to avoid further action.

The BMC is targeting property owners who have delayed payment despite having the financial capacity to pay. Under Section 203 of the Mumbai Municipal Corporation Act, property seizure notices are being issued. If payments are not made within the prescribed time frame, the BMC will proceed with further actions under Sections 204, 205, and 206 of the Act.

Initially, goods from the property will be seized and auctioned. If the tax remains unpaid, the property itself will be auctioned under Section 206, as outlined in the notice.

Property tax is the primary source of income for the municipal corporation. Once property tax becomes due, it must be paid within 90 days. After this period, BMC initiates phased actions to recover the dues. Tax officers personally follow up with property owners, send a 'Demand Letter,' and issue a final 21-day notice before proceeding with property seizure and auction actions.

In addition to legal measures, BMC has been running awareness campaigns through various media channels to encourage timely tax payments. To facilitate easy payments, the municipal corporation has made online payment options available, and further information can be found on the BMC website at https://www.mcgm.gov.in. Property owners are urged to use these online facilities to avoid inconvenience.

Tags: Property Tax Collectionproperty taxBrihanmumbai Municipal CorporationBMCmumbaiConstruction & builders
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