The municipal corporation of Mumbai, which is responsible for collecting and administering property tax and maintaining civic amenities, is known as Brihanmumbai Municipal Corporation (BMC) in Marathi and Municipal Corporation of Greater Mumbai (MCGM) in English. However, Navi Mumbai is maintained by ‘Navi Mumbai Municipal Corporation’ (NMMC), and it also has the responsibility for maintaining amenities and the right to collect local taxes.
BMC was constituted under the Bombay Municipal Corporation Act, of 1888 and is India’s richest municipal corporation. Like Pune Municipal Corporation, BMC follows a capital value-based system for property tax calculation. In this system, property taxes are based on the market value of the property.
Property tax is charged as a percentage of the capital value of the property. However, it depends on various factors, such as the type of property (e.g., residential or commercial), the usage of the property (self-occupied or rented), age, and size.
Property tax = Tax rate * Capital Value
Where capital value = Rate of base value* Total carpet area/area of land in case of vacant land * building type* age factor* usage factor* floor factor.
Base value is based on the ready reckoner that is used to calculate stamp duty by the revenue department.
Whereas,
-Building type refers to whether the building is residential or commercial.
-The age factor refers to the period since the construction.
-Usage factor depends on whether the property is used by the owner or the tenant and
-The floor factor refers to the floor at which the property is located.
Property tax can be computed online at BMC Property Tax Calculator by entering the Ward, Zone, locality, area, usage, occupancy type, total carpet area, year of construction, floor type etc.
Property tax can be paid both offline and online in Mumbai.
Online Payment-Navi Mumbai/NMMC: Taxes to NMMC can be paid online by visiting NMMC portal and entering ‘property code’.
Offline Payment: If you wish to make the payment manually, you can do so at the nearest assistant revenue office, BMC help centres, or citizen facilitation center at all ward offices. You can pay through various modes, such as cash, cheque, UPI, etc. Once you make the payment, you will receive a receipt for future reference.
Remember to claim the municipal taxes paid during the year as a deduction from your house property income.
Computation of property tax under NMMC.
Property tax rates of BMC based on user category.
Various multiplication factors like age factor, usage factor etc
Yes, all residential units below 500 sq.ft. of area and properties belonging to Diplomatic or Consular Mission of a foreign state as specified by the Government are exempted from property tax payment.
The due date to pay property tax in Mumbai is 30th June.
Yes, you can claim the whole amount as a tax deduction in the year in which you pay the municipal taxes.
You can obtain the property tax number by visiting the BMC Portal.
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