Introduction
Many municipalities use their state property tax levy to maintain and develop civic amenities. Like other municipal corporations, the Andhra Pradesh Municipal Corporation levies taxes on property owners in the state. This property tax is used to maintain roads, drainage systems, cleanliness of areas, and many other things that affect the livelihood of people in the community.
Table of Contents
- Society Benefits from Taxation
- Taxable Properties
- Assessment of Property Tax in Andhra Pradesh 2024
- Property Tax Rate in Andhra Pradesh
Property tax is a tax payable by the property owner and is one of the largest sources of revenue for Urban Local Bodies (ULBs) in India. The local government calculates the tax payable based on the value of the property owned, including land.
The types of properties taxed, and property tax rates vary by jurisdiction. The revenue department of the municipality is responsible for the administration of property taxes to the respective urban local bodies. In this article, we present various aspects of Andhra Pradesh Property Tax in detail.
Society Benefits from Taxation
Property tax is one of the major sources of revenue for urban local bodies (ULB) in Andhra Pradesh. The local governing body assesses the property and collects the property tax. The taxes collected are applied to the jurisdiction where the property is located. Funds are used for education, sewerage improvements, road construction, fire service, and other services of greater benefit to the community.
Taxable Properties
All residential and commercial (non-residential) properties under urban local bodies in Andhra Pradesh are assessed for tax. Based on such assessments, taxes are levied on property owners. However, property tax and property tax exemption are applicable for residential buildings with an annual rental value of less than Rs.600.
All new structures are there to make necessary changes in tax assessment. Information about existing structures and improvements to the property must be provided to the Town Planning Department.
Assessment of Property Tax in Andhra Pradesh 2024
An officer appointed by the Government assesses the property. Estimates are made based on the size of the property and other parameters that tax the citizen. When property tax is levied for the first time, an assessment book of records is prepared after sending a notice to the property owner.
The assessment sheet should contain the following list.
- Owner’s Name
- Door number
- Locality
- Zone no
- Construction type
- Nature of usage
- Plinth Area in Sq. Mts.
- As per Form A notification, the monthly rental value per square meter is fixed. Foundation area
- A monthly rental value is fixed on the property
- Date of Service of Special Notice
- Date of receipt of revision petition
- Date of hearing
- Orders of the Commissioner in brief
- Property tax is fixed after disposal of revision petition
- Commissioner’s initials
Property Tax Rate in Andhra Pradesh
For all non-residential buildings, irrespective of the Annual Rental Value (ARV), the property tax rate is 30%. are as follows.
| Residential Buildings Range of Annual Rental Value | Rate of Property Tax |
| Up to Rs.600/- | Exempted from payment of Property Tax |
| Rs.601/- to Rs.1200/- | 17% |
| Rs.1201/- to Rs.2400/- | 19% |
| Rs.2401/- to Rs.3600/- | 22% |
| Above Rs.3600/- | 30% |
Conclusion
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Also read: PMC Property Tax: How to Pay Property Tax in Pune