BMC to Levy Property Tax on Commercial Establishments in Slums, Eyes Rs. 350 Crore Revenue Boost

BMC to Levy Property Tax on Commercial Establishments in Slums, Eyes Rs. 350 Crore Revenue Boost

BMC to Levy Property Tax on Commercial Establishments in Slums, Eyes Rs. 350 Crore Revenue Boost

The Brihanmumbai Municipal Corporation (BMC) has announced the implementation of property tax on commercial establishments operating in slum areas, projecting an additional revenue of Rs. 350 crore for the financial year 2025-26. The civic body presented its budget on Tuesday, outlining its plan to generate Rs. 5,200 crore from property tax collections in the upcoming year.

BMC Commissioner and Administrator Bhushan Gagrani stated that a survey of shops and businesses in slums has already commenced, with tax rates to be determined based on property size and location. The budget document highlighted that the additional revenue would be directed toward improving infrastructure and civic amenities for slum dwellers.

Additionally, the BMC is considering the introduction of a Solid Waste Management (SWM) user charge, which would be implemented in a phased manner as per the Union government’s guidelines. However, this charge will not be levied in FY 2025-26, and a final decision will be taken after seeking legal opinion.

The civic body has projected an overall revenue collection of over Rs. 43,000 crore from various sources in the upcoming financial year.

About the author
Sandeep Sadh

About Sandeep Sadh

Sandeep Sadh has been in the real estate business since 1993 in Mumbai. He has expertise in Buying, Selling, Leasing properties in Mumbai and a deep understanding of legal and tax related matters due to his experience.

Summary

Over the years, he has experienced the City's growth. He has been a columnist in the Times of India with numerous articles, which bring about a clear picture of the real estate market in Mumbai. He is a regular on NDTV, CNBC, ET Now Real Estate and Zee News, giving his experienced quotes as and when required.

Sandeep Sadh has used information and technology since the year 1998 and now what people call it Prop Tech to cater to the needs of Home Buyer, Seller, Investor and Corporates, HNI and NRI looking to Buy/Sell or Lease their properties in the Mumbai Property Market.

Sandeep has a holistic experience of real estate be it Leasing an Apartment for your CEO in the most upmarket buildings, to enter into a long lease for your office in Mumbai in prime buildings or an Investment in good projects with a detailed analysis keeping in mind the Demand and Supply and other micro factors of the project/property.

Sandeep Sadh has developed a few websites like www.mumbaipropertyexchange.com, www.realestatemumbai.com, www.propi.in which augment the real estate consulting business.

Right from Investments in Primary Markets to Selling, leasing and specializing for NRI’s all over the world. He is an expert in NRI Home Buying and Selling and has a good understanding of the Income Tax laws pertaining to Selling a Property and Repatriating funds overseas or reinvesting based on Capital Gains etc.

Experience

  • Residential Leasing
  • Commercial Leasing
  • Residential Home Buying
  • Commercial Property Buying
  • Investment Properties with complete Property Management as your Real Estate Family office

While transacting in the above segments, he has complete experience and deep understanding of the paper work, his areas of expertise are :

  1. Drafting of the Leave and License Agreements
  2. MOU for Buying/Selling Properties
  3. Drafting Agreement for Sale
  4. Gift Deeds
  5. Computing of Capital Gains with current ready reckoner values
  6. Drafting of Supporting Power of Attorney.

As an add on Service, Sandeep Sadh has tied up with various Professionals like Lawyers and Chartered Accountants who add value in transacting and specially services for Non Resident Indians.

Application to Income Tax for Lower Tax Deduction Certificate – Through a qualified CA and keeping a grip on the traction so that the remittance back to Non Resident Indians after Selling the property is seamlessly transferred.

You can connect with Sandeep Sadh on ssadh@mumbaipropertyexchange.com

LinkedIn - https://www.linkedin.com/in/sandeepsadhmpe/