In a set back to the Bruhat Bangalore Mahanagara Palike (BBMP) and the State, the Karnataka High Court on Thursday quashed the rule pertaining to levy of property tax on kalyana mantapas (marriage halls) and hotels having board and lodging facilities.

The court declared that Rule 3 (V) of the BBMP Property Tax Rules 2009 and categories IX and XIII, which prescribes different unit rate value for determination of property tax for marriage halls and hotels with boarding and lodging faculties, violates the Karnataka Municipal Corporation (KMC) Act.

The court passed the order in a batch of petitions filed by proprietor of Seetha Kalyana Mandiram, Venkateshpura, and several others.

The petitioners had contended that there was an increase of 300 to 600 per cent in their property tax though the KMC Act permitted increase between 20 and 25 per cent.

In his verdict, Justice H.N. Nagamohan Das said that uniform tax rate fixed for these categories of properties was in violation of the KMC Act. The court directed the BBMP and the State to determine property tax as per law.

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