BBMP(Bruhat Bengaluru Mahanagara Palike) plans property tax hike – Bengaluru from April 2019.
The hike in the property tax in Bengaluru will be by 25-30%. This is to meet the pressure of taking important new projects by the BBMP.
If the BBMP goes ahead with property tax hike – Bengaluru, the residential areas will pay 25% more and commercial areas 30%. If the coalition government approves and endorses the same, the rates will be coming to effect from 1st April 2019.
The BBMP revenue department has prepared a proposal for the property tax hike – Bengaluru.
BBMP Commissioner confirmed the proposal of property tax hike- Bengaluru by saying “revision of property tax is being done as per the Karnataka Municipal Corporation Act. The Act mandates revision once in 3 years”.
BBMP is struggling to meet the deadline of the on-going projects due to financial problems.
Reasons for opposition to property tax hike – Bengaluru:
The move by BBMP to property tax hike – Bengaluru has irked the residents and property owners. Many expressed the city lacks basic infrastructure including good roads. The garbage and solid waste management is a day to day crisis in the city.
The problems also include poor maintenance of street lights, bad footpaths and no drainage system.
Citizens of Bengaluru say there is no transparency in the system. Nobody knows how much of revenue is being generated by BBMP through property tax.
Properties which comes under the new BBMP zones are yet to get ‘A’ Khata and do not have even occupancy certificates. Some of the areas lack basic necessities such as water and sanitation connection. Without providing these basic facilities BBMP is proposing Property tax hike-Bengaluru.
In some of the BBMP Zones even after paying property tax the areas have been neglected. The citizens in these areas have seen little or no development in terms of infrastructure and amenities.
When was property tax raised previously?
With a similar aim, property tax was raised by 20 % for residential building and 25% for non-residential properties in 2016. The civic body can revise the property tax in every 3 years, with a min. of 15% and max. 30% according to the Karnataka Municipal Corporations Act, 1976.
Some even suggested that the citizens must be able to penalize the BBMP for not performing their duties in the Bengaluru city.
The general opinion is that the property tax hike is unlikely to go ahead in an election year.