BBMP mops up ₹743 crore in four months

BBMP's OTS scheme and SAS revisions boost revenue by ₹743 crore, with interest and fines for remaining defaulters.

The one-time settlement (OTT) scheme, coupled with the revision of tax demand for undervalued properties under the self-assessment scheme (SAS), has helped the city’s civic body mop up ₹743 crore more revenue this April-July, compared to the same period last year.

The overall property tax collection by the Bruhat Bengaluru Mahanagara Palike (BBMP) from April 1 to July 31 is pegged at around ₹3,200 crore. During the same period in 2023, the civic body collected ₹2,457.3 crore.

The BBMP, through the ambitious OTS, a window through which 3,95,250 defaulters were given an opportunity to pay interest-free dues, managed to collect ₹217.5 crore. The data shared by the BBMP shows that 1,07,344 defaulters utilised the scheme, which was launched on February 23 and ended on July 31.

The BBMP will now levy interest and fine for the defaulters who failed to pay before the deadline.

On the other hand, the BBMP has issued revised tax demands for properties that it found to be undervalued under the SAS mechanism and mopped up additional tax of ₹163.13 crore from 6,723 properties, even as the civic body issued revised tax demands to 16,501 properties.

Chief Civic Commissioner Tushar Giri Nath said the civic body had also ensured better compliance during the last four months. He added now that the OTS scheme ended, the civic body will levy fines and interest for tax defaulters.

For commercial properties, the interest will be levied for the period from which taxes were unpaid and for residential properties interest will apply for those who have not paid tax beyond five years. The BBMP will start a special drive to collect taxes from the remaining defaulters, issuing notices and following necessary legal procedures.