BBMP counting on property tax to fill its coffers

In the first 17 days of this financial year, the civic body had garnered ₹90.89 crore

April 18, 2020 08:17 pm | Updated 08:17 pm IST

With its coffers running low, the Bruhat Bengaluru Mahanagara Palike (BBMP) is banking on citizens paying their property tax, which is a major revenue source. However, a senior revenue official told The Hindu that the civic body will not be “forcing” property owners to pay their dues.

In the first 17 days of the new financial year, the BBMP had garnered ₹90.89 crore, of which ₹86.45 crore was paid online and the remaining through challans in banks.

“With the lockdown in place, we hope citizens don’t take the risk of stepping out of their homes to pay property tax. We hope that they pay the tax online, which is safe and secure,” the official said.

During the last fiscal (2019-20), the BBMP had garnered a total of ₹2,729.77 crore as property tax, as against a target of ₹3,000 crore. Of this, around ₹2,668 crore was paid through online modes.

“If the lockdown had not been announced towards the end of March, we would have been able to collect an additional ₹150 crore,” the official added.

5% rebate

As an incentive, the civic body is offering a 5% rebate on property tax till the end of April. The BBMP always offers the rebate to those who pay the complete tax amount in the first month of the new financial year.

The official added that extension of rebate for another month could be discussed during the budget meeting. The BBMP’s 2020-21 budget is being presented on Monday (April 20).

“If the council passes a resolution to extend the rebate period, we will send the proposal to the State government for ratification,” the official stated.

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