Select City
Search
user-profile
Property Tax In Bengaluru 2024- Revised BBMP Property Tax Calculation
Property Tax In Bengaluru 2024- Revised BBMP Property Tax Calculation
Discover the latest changes in BBMP property tax regulations in Karnataka. Explore the amended framework, reduced penalties, and exemptions for underprivileged communities. Learn how to calculate property tax, generate PID numbers, and make payments online. Stay informed about the upcoming property tax rates in Bangalore for 2024 and the shift from a zonal to a guidance value system. Ensure a smooth and hassle-free experience in contributing to Bengaluru's development through property taxes with our comprehensive guide.

Table of Contents

  1. What is BBMP Property Tax?
  2. How is Property Tax Calculated in Bangalore?
  3. New BBMP Property Tax Rates/Calculation Structure for 2024
  4. Old BBMP Property Tax Rates in Bengaluru as per Zones
  5. BBMP Property Tax Forms
  6. Types Of Properties That Attract Property Tax Under BBMP
  7. How to Pay BBMP Property Tax Online?
  8. How to Get BBMP Property Identification Number?
  9. Properties Exempted From Property tax in Karnataka
  10. Faq's

On Feb 21, 2024, The Karnataka government passed the Bruhat Bengaluru Mahanagara Palike (BBMP) Amendment Bill to lessen the tax burden on property owners in Karnataka. Homeowners in Karnataka have been given significant relief with the passed bill, which decreases the penalty for unpaid property taxes by 50 percent.

Additionally, underprivileged communities will be exempt from penalties and rebates regarding social welfare, government housing, and slums. Also included in the recent bill is a five-year cap on the property tax penalties for residential and mixed properties.

In addition to this, the BBMP (Bruhat Bengaluru Mahanagara Palike) has put forth a revised property calculation framework in Bangalore, doing away with the outdated zonal classification system. This overhaul also includes a reduction in the penalty rates imposed on property tax. The previous system featured five zonal classifications, ranging from A zones with a higher guidance value to E zones with the lowest.

BBMP Chief Commissioner Tushar Giri Nath pointed out that the previous structure resulted in property owners in A zones facing higher tax burdens, even if their built-up areas were comparable to those in other zones.

In this article, we will take a look at the new revised property tax framework in Bengaluru, Karnataka. How a homebuyer can pay the property tax online and offline, how to calculate property tax, how to generate the PID number, and the exemptions applicable to property tax in Bengaluru, Karnataka

Also Read:  Buy House In Bangalore: Why Owning A Home Beats Renting

What is BBMP Property Tax?

BBMP Property Tax is the yearly fee you pay for owning property in Bangalore, managed by BBMP (Bruhat Bengaluru Mahanagara Palike). BBMP is the administrative body responsible for civic and infrastructural assets in Bangalore, and property tax is one of the key sources of revenue for the municipality.

Property tax is a tax imposed on the ownership or possession of properties, and it is assessed based on the annual rental value or the capital value of the property. In the case of BBMP Property Tax, it is calculated on the annual rental value of the property.

Property owners in Bangalore are required to pay BBMP Property Tax annually. The revenue generated from property taxes is utilised by the municipal corporation to fund various civic amenities, infrastructure projects, and public services in the city.

Every year, BBMP sends property owners a bill, and the amount depends on factors like property type, size, and location. It is a way for everyone to contribute to maintaining and improving the city.

You can pay the BBMP property tax from April until March of the subsequent year, the BBMP property tax is an annual obligation for property owners in Bangalore.

The deadline to pay property tax in Bengaluru is April 30th of every year.

The BBMP provides a 5 percent discount on property tax paid in full before the due date, which can be paid through a challan or online payment methods. Failing to pay on time will result in a penalty as directed on the BBMP website.

How is Property Tax Calculated in Bangalore?

Please note: As per the recent draft notification, BBMP will do away with the zonal system of tax calculation and follow the Guidance Value system. As per reports, The draft notification issued by the BBMP following Section 144 of the BBMP Act, 2020 stated the elimination of the A B C D E zonal classification is in favour of taxation based on property guidance values. The proposed tax rates vary for residential, commercial, industrial, and other properties.

The new system will be enforced from April 2024.

New BBMP Property Tax Rates/Calculation Structure for 2024

The BBMP has also proposed a new property calculation structure in Bengaluru and eliminated the old zonal classification system along with the reduction in the penalty rate on Property tax.

Previously, property tax computation was structured around five zonal classifications, where A zones encompassed a higher guidance value bandwidth, and E zones had the least. BBMP Chief Commissioner Tushar Giri Nath highlighted that this framework led to property owners in A zones paying higher taxes, even if they had the same built-up area as those in other zones.

As per reports, according to the draft, under residential properties, property tax for tenanted property will be 0.2 percent of the guidance value, for self-occupied tax, it would be 0.1 percent, and for fully vacant land, it would be 0.025 percent of the guidance value.

Under the non-residential or commercial properties, property tax for non-residential property (occupied) will be 0.5 percent of the guidance value, and for fully vacant land, it will be 0.025 percent.

Residential Properties (per sq.ft. per year)


For Tenanted Property/land

0.2% of Guidance Value 

For Self-Occupied Property/Land

0.1% of Guidance Value 

For Fully Vacant Land 

0.025% of Guidance Value


For Commercial/Non-residential Properties (per sq.ft. per year)


For non-residential property/Land 

0.5% of guidance value

For fully vacant land 

0.025% of guidance value


Old BBMP Property Tax Rates in Bengaluru as per Zones

Zone

For rented-out unit (per sq ft)

For self-occupied property (per sq ft)

A

Rs 5

Rs 2.50

B

Rs 4

Rs 2

C

Rs 3.60

Rs 1.80

D

Rs 3,20

Rs 1.60

E

Rs 2.40

Rs 1.20

F

Rs 2

Rs 1


BBMP Property Tax Forms

Forms

Uses

Form 1

Property with Property Identification Number

Form 2

Property with Khata number

Form 3

Property without PID or Khata number

Form 4

In case of no change in the property details such as built-up area, usage or its occupancy

Form 5

If there is a change in the status of the property

Form 6

For the payment of service charge when the property is exempt from payment of property tax


Types Of Properties That Attract Property Tax Under BBMP

Owners of the following properties are liable for BBMP property tax payment:

  1. Residential properties, including self-occupied property or rented-out properties
  2. Flats
  3. Office buildings
  4. Factory buildings
  5. Godowns
  6.  Shops

How to Pay BBMP Property Tax Online?

Before you start the online tax payment BBMP process, you will need to gather some essential documents and information.

The documents include:

Khata certificate: This document is issued by the BBMP and is essential for identifying your property in the records of the city. It contains details such as the name of the owner, property size, and location.

Property tax receipt Of Previous Year: You will need the property tax receipt of the previous year to fill in details such as the assessment year and tax paid.

Property identification number (PID): The PID is a unique identification number assigned to your property by the BBMP. You can find your PID on your khata certificate.

Follow the below-mentioned steps to pay property tax in Bangalore online

Step 1: Login to bbmptax.karnataka.gov.in



Step 2: Enter the Application Number, PID Number, or Renewal Application Number and Owner Name.

Step 3: Click on Retrieve. Details of the owner will be displayed on the next page.

Step 4: Hit Proceed in case the details displayed on the screen are correct and require no changes. Doing so will redirect you to fill Form IV.

Step 5: If any changes need to be made to the property, such as the usage of the property, the occupancy, or the built-up area, click on the box on the screen and click Proceed. Doing so will take you to fill Form 5

Step 6: Make sure that the information that you have entered is accurate. Once done, then proceed to make the tax payment which can be done either in instalments or in full either through a challan or online.

Step 7: In case you select the online payment option, you will be redirected to the payment page where you will have to select the mode of payment, viz. debit card /credit card or net banking.

Step 8: After you have successfully made the payment, the system will generate a receipt number which can be viewed, printed or downloaded after 24 hours.

How to Get BBMP Property Identification Number?

BBMP Property Identification Number (PID Number) is an individual number which BBMP provides to each property. Through this ID you can get to know the property details like its ward number, street number, plot number, and more.

Step 1: Visit the home page: https://bbmptax.karnataka.gov.in/


Step 2: Enter the 10-digit application number and name of the owner


Step 3: Click on the retrieve button to get the property tax payment details. In the payment detail, you can find the PID number mentioned.

Also Read: How To Pay Property Tax in Delhi 2024

Properties Exempted From Property tax in Karnataka

1) Places set apart for public worship and either so used or used for no other purposes

2) Choultries for the occupation of which no rent is charged.

3) Places used for the charitable purpose of sheltering the destitute or animals and orphanages, homes, and schools for the deaf and dumb, asylum for the aged and fallen women and such similar institutions run purely on philanthropic lines as are approved by the Government

4) Ancient monuments protected under the Karnataka Ancient and Historical Monuments and Archaeological Sites and Remains Act, 1961 (Karnataka Act 7 of 1962) and the Ancient Monuments and Archaeological Sites and Remains Act, 1958 (Central Act 24 of 1958) or parts thereof as are not used as residential quarters or public offices

5) Charitable hospitals and dispensaries not including residential quarters attached thereto

6) Hospitals and dispensaries maintained by railway administrations as may from time to time be notified by the Government, but not including residential quarters attached thereto

7) Burial and cremation grounds included in the list published by the Chief Commissioner

8) The Government lands set apart for free recreational purposes and all such other Government land as may be notified by it, from which in the opinion of the Government no income could be derived

(i)(a) - student hostels which are not established or conducted for profit.

(i)(b) - educational purposes by Government or Local Authority educational institutions

(i)(c) - the offices of Labour Associations registered under the Trade Union Act, 1926 (Central Act 16 of 1926) and belonging to such Association.

9) Buildings or lands belonging to the Central Government or any State Government used for purposes of Government and not used or intended to be used for residential or commercial purposes

10) As per the recent amendment underprivileged communities will be exempt from penalties and rebates regarding social welfare, government housing, and slums

In conclusion, the recent amendments to the Bruhat Bengaluru Mahanagara Palike (BBMP) property tax regulations in Karnataka reflect a positive step towards easing the financial burden on property owners, particularly in Bangalore. The notable reduction in penalty rates for unpaid property taxes, along with exemptions and rebates for underprivileged communities, demonstrates a commitment to fostering social welfare and inclusivity.

The elimination of the outdated zonal classification system and the introduction of a new property tax calculation framework based on guidance values is a welcome change. This move aims to rectify the previous discrepancies where property owners in higher-value zones faced disproportionately higher tax burdens. The proposed rates for residential and commercial properties under the new system, set to be enforced from April 2024, offer a more equitable approach to property taxation.

Furthermore, the streamlined online payment process for BBMP property tax, accompanied by a user-friendly portal, enhances convenience for property owners. The detailed explanation of how to calculate property tax, generate the Property Identification Number (PID), and the types of properties attracting tax provides clarity to homeowners and facilitates a smoother taxation process.

The emphasis on transparency and efficiency in the tax administration of BBMP in Bengaluru is evident in the revised property tax rates and the shift towards a more inclusive and simplified taxation system. As property owners contribute to the development of the city through these taxes, the amendments ensure a fair and balanced approach, encouraging timely payments and fostering the overall improvement of the civic amenities and infrastructure of Bengaluru.

explore further

NEED HELP?
Get in touch with Dwello consultant for free consultation
+91
Enquire Now
logo
A JM Financial Group Venture
HOW WE MAY HELP YOU?
(022) 6122 9411
hello@dwello.in
FOLLOW US
Registered & Corporate Office
JM Financial Products Limited. 7th Floor, Cnergy, Appasaheb Marathe Marg, Prabhadevi, Mumbai - 400025
CIN:
U74140MH1984PLC033397
RERA NUMBERS
maharera-icn
Maharashtra
A51900000277
karnatakarera-icn
Karnataka
PRM/KA/RERA/1251/309/AG/220521/002898
delhirera-icn
Delhi
DLRERA2022A0103
haryanarera-icn
Haryana
RC/HARERA/GGM/1932/1527/2022/300
What is Dwello?
Dwello is a new way to buy home. In a world where facts are chosen to suit interpretations, our algorithms offer accurate recommendations by sifting through vast knowledge banks comprising real time market data and historical decisions of many home buyers, curated by industry experts.
Dwello, for every home buyer, is a way to go from 'I feel' to 'I know', at no extra cost.
© 2023 JM Financial Products Limited. All Rights Reserved.