Mumbai: In a stark reminder of the growing problem of property tax evasion, the BMC has been forced to take drastic action, recovering only Rs 218 crores of the massive Rs 1,672 crores in unpaid property taxes.
Despite years of delay, the civic body has been left with no choice but to seize 3,605 properties belonging to big owners who have failed to settle their dues. To further intensify the pressure, the BMC has now begun the process of auctioning off 90 of these properties.
The BMC has set an ambitious target to collect Rs. 6,200 crores in property tax for the financial year 2024-25. However, over the past decade, both disputed and outstanding property tax amounts have surged significantly.
BMC takes strict action against property tax defaulters, seizing 3,605 properties and recovering ₹218 crores | File Photo
As revenue from property tax plays a crucial role in funding infrastructure projects across the city, the BMC has launched a crackdown on major defaulters to recover these dues and ensure the smooth execution of civic development plans.
These seized properties include land, residential and commercial buildings, commercial shops etc. The final due date for the payment of property tax for the first half of the financial year 2024-25 is December 13.
The BMC has issued notices for property attachment under Section 203 of the BMC Act, 1888. If the taxes are not settled within the stipulated period, the action is taken under sections 203, 204, 205, and 206. This may involve seizing movable goods from the property and conducting an auction to recover the dues.
The civic authorities have warned of strict punitive measures if property owners fail to pay their taxes before the final due date. The Assessors and Collection Department releases a list of the top 10 major defaulters daily to exert pressure on them to clear their outstanding dues.
Attached properties (April 1 to November 25) : 3,605
Value: Rs. 1,672 crore
Auctions to be held: 90 seized properties
properties confiscated and attached: island city : 1,232 ; western suburbs : 1,767 ; eastern suburbs 606
Recovered from major defaulters: Rs. 218 crores
