Property tax: Notices to 12 buildings

BBMP estimates evasion of ₹153.5 crore

October 30, 2017 10:13 pm | Updated 10:13 pm IST

Following the Total Station Survey of select buildings for property tax evasion, Bruhat Bengaluru Mahanagara Palike (BBMP) has served notices to just 12 buildings, most of them apartments and office spaces, for ₹153.5 crore. This, in just three of the eight zones – Mahadevapura, Bommanahalli and South.

M.K. Gunashekhar, chairman, standing committee on taxation and finance, said that this was only the first part of the survey report, which had uncovered evasions. “These property owners have paid property tax, but the survey has found under-reporting during self assessment of the property over the years, which along with penalty, has added up to this amount,” he said.

Apart from serving notices, the BBMP has filed a caveat in the High Court, expecting a legal challenge from property owners.

The second part of the report will look at another 50 buildings and is expected to uncover suppression and evasion of at least another ₹300 crore, he said. “Apart from this, I have personally scrutinised 15 files from Mahadevapura zone and discovered revenue loss of nearly ₹100 crore,” he added.

The Standing Committee on Taxation and Finance has now asked the BBMP Restructuring Committee to study revenue loss and under-reporting in Mahadevapura and Bommanahalli zones, using GIS technology and submit a report.

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