BMC to auction five properties for tax default of ₹14.62 crore

The BMC has decided to auction two commercial buildings and three plots in Andheri (East) for defaulting property taxes worth ₹14.62 crore.

As the financial year nears its end, the Brihanmumbai Municipal Corporation (BMC) has initiated action against property tax defaulters, who have failed to pay up despite repeated reminders and notices.

The Brihanmumbai Municipal Corporation (BMC) assessment and collection department has also attached 13 properties for defaulting property tax worth ₹37.38 crore. (HT File Photo)

The civic body has decided to auction two commercial buildings and three plots in Andheri (East) for defaulting property taxes worth ₹14.62 crore.

The corporation’s assessment and collection department has also attached 13 properties for defaulting property tax worth ₹37.38 crore, while it has disconnected the water supply for nine properties for defaulting ₹30.50 crore.

Devidas Kshirsagar, assessor and collector, said, “We will meet our target of collecting ₹5,300 crores worth property taxes. In the past one week alone, we have succeeded in collecting property tax of over ₹1,000 crore. We request all those property owners who have been served notices for defaulting property tax to pay their taxes in time to save their properties from any action.”

The BMC had set a target of collecting ₹5,400 crore as property tax before March 31, but has collected only ₹4,360 crore.

However, officials are positive that they will meet their target by the deadline, as they are taking various steps towards the direction. Property tax is the largest source of revenue for Brihanmumbai Municipal Corporation (BMC).

As per the BMC’s process of property tax retrieval, the property owner has 90 days to pay the tax once he receives the property tax bill. For those who fail to pay the tax within the 90 day-period, the BMC first contacts the owners of the properties and sends them demand letters. Defaulters are then given a 21-day period to pay the taxes. After the period ends, the BMC initiates actions like disconnecting the water supply. If despite all these action, the taxes remain unpaid, the BMC initiates process to attach the property of defaulters.