Introduction
Property owners in Bangalore now have a chance to avail of tax concessions courtesy of Bruhat Bengaluru Mahanagara Palike (BBMP). Generally, taxpayers are declared eligible for a rebate period of one or two months. However, this year, BBMP has doubled the period. Property owners will be able to avail of tax concessions for a total of three months.
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Bengaluru: According to media reports, the Bruhat Bengaluru Mahanagara Palike (BBMP) has extended the last date to July 31, 2024, to avail of a 5% concession on the payment of property tax. According to a circular issued by BBMP Chief Commissioner Tushar Girinath, the deadline has been extended by another three months.
Extension of Deadline for Payment of Property Tax
Residents are eligible for rebate if they pay their property taxes for the financial year 2024–25 by April 30, 2024. According to Section 144(8) of the BBMP Act 2020, the civic body will get a 5% concession for property owners who make payments at the beginning of the financial year.
As the announcement of the 2024 Lok Sabha elections is likely to come out, the officials and staff of the revenue department are fully engaged in the work related to the elections. Due to this, it becomes difficult to process payments during this period, according to the report.
According to the report issued by the circular, there are many public holidays in April. Taxpayers cannot pay them at selected bank branches. Therefore, taking all these factors into account, for the convenience of taxpayers and to ensure the collection of property tax, only those who have paid during the period from 01-05-2024 to 31-07-2024 should be eligible for a 5% concession.
BBMP to Launch New Scheme
BBMP has also launched a new scheme. Here, property owners can pay their property tax even before getting the khata certificate. Officials said that the scheme would be launched on March 20.
BBMP officials said the civic body can continue computing property tax through the self-assessment scheme as the guidelines for the value-based property tax system announced by the state government have yet to be notified.
BBMP Property Tax Payment
Property owners in Bangalore have to pay property tax every year. The Bangalore Municipality collects property tax for the corporation known as Brihat Bangalore Mahanagara Palike (BBMP). The municipal body uses these funds to provide civic amenities in Bangalore.
The BBMP follows the Unit Area Value (UAV) system to calculate the property tax amount. The UAV is based on the expected return from the asset. It varies depending on its location and the nature of the property’s use.
Conclusion
Everyone knows that the state government collects the property tax. Levy basis and method of calculation are different from each other. The mode of payment is also different. The government has taken this decision because of the delay in property tax payments. For more information, visit Openplot.
Also read: What is the GHMC Property Tax?