One city, nine tax rates

One city, nine tax rates

Staff Reporter

Bangalore: Property owners will pay property tax in at least nine different tax rates this year. According to BBMP officials, the seven city municipal councils and a town municipal council, which were merged with the BBMP, had different tax rates (both for residential and non-residential) under the Capital Value-based System (CVS).

Although now all these areas were under one entity, the people continue to pay tax at different rates because of non-implementation of CVS in the erstwhile Bangalore city.

Meanwhile, the BBMP is yet to get the order from the Government on maintenance of CVS for new areas and Annual Rental Value system for the erstwhile parts of the city as directed by the Governor.

This has resulted in “no” system to levy property tax as of now. The BBMP was planning to limit the increase to 50 per cent in case of residential property and 100 per cent in case of non-residential property by introducing a cap on tax payment if it had implemented the CVS.