Bengaluru Property Tax Defaulters to Face Heavy Penalties Starting April 1

Starting April 1, Bengaluru property owners with unpaid taxes will face heavy penalties, as the Bruhat Bengaluru Mahanagara Palike (BBMP) tightens enforcement. Defaulters will be charged a penalty equal to their outstanding tax, plus up to 15% annual interest.

This move comes after the expiration of a relaxation period that was in place due to changes made to the BBMP Act by the Karnataka government last year. The relaxation expires on March 31, prompting the BBMP to reinstate the penalty measures.

BBMP officials are now under instructions to focus on collecting pending property taxes before the financial year ends. Special Commissioner (Revenue), Munish Moudgil, emphasized the importance of addressing the outstanding dues during a virtual meeting held on March 15. Zonal officers have been directed to take necessary actions to ensure that the property taxes are collected swiftly.

BBMP has collected ₹4,604 crore in property tax so far, achieving 88.36% of its ₹5,210 crore target for the fiscal year 2024-25. The Yelahanka zone in North Bengaluru has met nearly all of its target, while other regions such as the eastern zone (including Whitefield) and southern parts (like Electronic City) reported collection rates of 86%.

Currently, more than 1.8 lakh properties within the BBMP limits have pending tax dues, and the corporation is urging property owners to clear their dues before penalties are applied.