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MCGM property tax Mumbai: Your guide to paying BMC property tax

[ecis2016.org] MCGM property tax is a recurring charge that home owners have to pay every year. However, the property tax amount varies from one location to another. This is a guide to paying property tax Mumbai

What is MCGM property tax?

MCGM property tax is the tax paid by an individual for the property he owns in the Mumbai Metropolitan Region (MMR). Property tax Mumbai is calculated by the state government based on the property’s value.

You are reading: MCGM property tax Mumbai: Your guide to paying BMC property tax

The owners of residential properties in Mumbai are liable to pay property tax Mumbai to the Brihanmumbai Municipal Corporation (BMC) every year. They can pay property tax online Mumbai using the MCGM property tax website.

This new financial year 2022-23 may see a revision of around 10-18 % in the MCGM property tax starting April 1, 2022.  The last revision was supposed to happen in 2020 but was not done owing to the pandemic. According to the Mumbai Municipal Corporation Act, there is a revision in property tax every 5 years. The last revision of property tax on capital base was done in 2015. BMC may implement the increase in MCGM property tax including capital value revision from this year for a period of next three years as there is MCGM property tax is one of the fixed incomes for BMC.

While BMC had estimated a collection of Rs 7,000 crore from property tax in 2021-22, taking into consideration, revision of BMC property tax by 15 %, it could collect only around Rs 4,8oo crore till now. This can be attributed to the standing committee refusing the hike and a waiver on property tax for properties up to 500 sq ft.

As per a  BMC circular on property tax, the Maharashtra cabinet, on January 12, 2022, approved the state government’s decision to waive property tax on houses of up to 500 sq ft in Mumbai. Maharashtra chief minister Uddhav Thackeray, on January 1, 2022, announced a waiver of MCGM property tax on residential units of up to 500 sq ft located within the Mumbai municipal area limits with immediate effect.

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This move will benefit 16.14 lakh residential units. The waiver on MCGM property tax will result in a revenue loss of Rs 462 crores for the exchequer. The MCGM will bear a loss of Rs 417 crores, while the state government will bear the burden for the remaining Rs 45-crore deficit as per the BMC circular on property tax. The waiver on property tax Mumbai is to ensure that people do not have a financial setback with the pandemic going on.

While previously, only the general tax component was waived off, now the government has waived off MCGM property tax (Municipal Corporation of Greater Mumbai) in totality for properties up to 500 sq ft.

The BMC, in 2020-21, had estimated MCGM property tax collection of Rs 6,738 crore but could only collect Rs 4,500 crore due to the COVID-19 pandemic and lockdown.

Residential units with carpet area between 501 sq ft and 700 sq ft, will get 60% reduction in the BMC property tax rate. For paying BMC property tax online in Mumbai, you can use MCGM website for property tax, BMC mobile app or BMC website. Here is a guide to pay pay property tax online Mumbai using the MCGM website:

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MCGM property tax: How to view property tax Mumbai bill on MCGM website?

To view your outstanding dues and property tax bill online in Mumbai, follow the steps given below:

Step 1: To pay the property tax Mumbai, visit the MGCM portal at portal.mcgm.gov.in property tax and enter your property/account number.

Login property tax

Step 2: Enter the captcha. You will get OTP on your registered mobile number which you have to enter to move to the next step for paying your property tax Mumbai.

OTP vertification

You will be redirected to your account on the MCGM website, where you will be able to view all your outstanding and paid property tax Mumbai bills.

MCGM property tax: Property tax payment online Mumbai

Property tax MCGM can either be paid at the BMC Help Centers, or at the Office of the Assistant Revenue Officer, or at the Citizen Facilitation Centre at all the ward offices.

You can also pay property tax online Mumbai using MCGM portal on portal.mcgm.gov.in property tax.

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Step 1: After you click the above link, enter your account number on the MCGM website to pay the MCGM property tax payment online or the BMC property tax online.

Step 2: Here you check outstanding MCGM property tax bills or directly make the MCGM property tax payment online.

Step 3: Once you make the MCGM property tax payment online, keep your property tax MCGM payment receipt safely. This is important, not only as a proof of payment of MCGM property tax but also for proof of ownership of your property.

Step 4: Ensure that the MCGM portal updates your record and no outstanding amounts are shown against your account. If there are any errors, have them corrected immediately.

MCGM Property tax: How to calculate it online?

The BMC property tax is calculated using the Capital Value System (CVS). This CVS is based on the market value of the property.

Step 1: Go to property tax calculator Mumbai on MCGM website.

BMC Property Tax Mumbai

Step 2: Fill the required details on MCGM portal’s property tax calculator Mumbai such as ward number, floor, nature and type of building, carpet area, zone, user category, year of construction, FSI factor, tax code, sub zone, user sub-category and other details.

Step 3: Click ‘Calculate’ on property tax calculator and get the detailed BMC property tax bill.  MCGM property tax formula

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Capital value is calculated as follows:

Market value of the property x Total carpet area x Weight for construction type x Weight for age of the building

The market value can be ascertained using the Ready Reckoner (RR). The RR is set by the state government and is a compilation of the fair value prices for properties. You will need to check the ward/zone in which your property falls.

Weights for ‘construction type’, in units:

  • Bungalows and RCC construction – 1 unit.
  • Other than RCC (semi-permanent /chawls) – 0.60 units.
  • Under-construction or vacant land – 0.50 units.

Weights for ‘age of building’, in units:

  • Properties constructed before 1945 – 0.80 units.
  • Properties constructed between 1945 and 1985 – 0.90 units.
  • Properties constructed after 1985 – 1 unit.

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After you have ascertained the capital value, Mumbai property tax is calculated as follows:

Capital value of property x Current property tax rate (%) x Weight for user category

Weights for ‘user category’, in units:

  • Hotels and like businesses – 4 units.
  • Commercial properties (shops, offices) – 3 units.
  • Industries and factories – 2 units.
  • Residential and charitable institutions – 1 unit.

MCGM property tax: How to get BMC property tax bill on e-mail?

The property tax Mumbai payers can get their BMC property tax bill in their inbox, if they fill the Know Your Customer (KYC) form online on MCGM portal. All notifications, alerts and tax bills will be sent to the registered email ID, once the KYC formalities are completed by the citizens. The civic body has requested all tax payers to finish the KYC as soon as possible and to avert penalties on delayed payment of property tax.

Here’s how to do the KYC on the MCGM property tax portal for getting Mumbai property tax bill:

Step 1: Visit MCGM Citizen Portal and enter your property account number.

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Step 2: Enter the captcha and click on ‘login’ on the MCGM website.

Step 3: Upload the requisite documents on MCGM website and submit the attested copy.

Step 4: Enter the email ID and contact details for receiving MCGM property tax alerts through email and SMS.

Step 5: Once approved, you will get the confirmation on your email.

MCGM property tax due date

MCGM property tax must be paid every year by June 3, failure of which will result in a penalty of 2% on the outstanding amount.

MCGM property tax change of name

According to BMC circular on property tax, if you want to change name on MCGM property tax records, you can follow the above mentioned process. Note that for there is no need for property card for change of name in MCGM property tax records as the change of name will be done on the basis of share certificate or the sale deed. No fees is charged  by the MCGM property tax department for change of name in the records.

Change of name property records MCGM

Once done, you can check the records on the https://ptaxportal.mcgm.gov.in/CitizenPortal/#/changeBillName by clicking on Detail under ‘View Detail’.

change of name

To facilitate the process of scrutinising building plans and issuing approvals, the BMC has implemented the AutoDCR, an online platform. The MCGM website has also enabled the generation and utilisation of transfer of development rights (TDR) through an online process, allowing architects to easily submit their applications.

The Municipal Corporation of Greater Mumbai (MCGM), through the MCGM website, allows citizens to search for and know the details related to all the applications submitted to the corporation and to check the status of the file.

Here are the steps to use this online facility:

Citizens can access the MCGM Citizen Search through the MCGM AutoDCR link https://autodcr.mcgm.gov.in/bpamsclient2/Login.aspx.

Property tax in Mumbai: Complete guide about BMC and MCGM portal

To search for their application status, applicants should enter the file number and other details, such as applicant’s name, name of the architect/LS, zone name, ward name, plot number, CTS number, village, road, etc.

Property tax in Mumbai: Complete guide about BMC and MCGM portal

Property tax in Mumbai: Complete guide about BMC and MCGM portal

Applicants will be able to check the current file stage with zone and ward details on the MCGM website.

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(With inputs from Vinita Menon)

FAQs

Which properties are exempt from tax in Mumbai?

Residential properties up to 500 sq ft, within the Mumbai municipal area limits, are exempted from property tax.

I want to pay my property tax online in Mumbai. How can I do that?

You can pay the property tax online, on official websites by following the above procedure.

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Source: https://ecis2016.org
Category: Must Knows

Debora Berti

Università degli Studi di Firenze, IT

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