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A Complete Guide to BMC Property Tax: Calculation, Payment

Updated on : 26 June, 2025

By Hexadecimal Software Team

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1. Introduction to BMC Property Tax
2. Understanding the Property Tax System
3. How BMC Property Tax is Calculated
4. Payment of BMC Property Tax
5. Exemptions and Rebates
6. Documents Required for BMC Property Tax Payment
7. Benefits of Timely BMC Property Tax Payment
8. How to Calculate Your Property Tax Online
9. FAQs

1. Introduction to BMC Property Tax
2. Understanding the Property Tax System
3. How BMC Property Tax is Calculated
4. Payment of BMC Property Tax
5. Exemptions and Rebates
6. Documents Required for BMC Property Tax Payment
7. Benefits of Timely BMC Property Tax Payment
8. How to Calculate Your Property Tax Online
9. FAQs

Introduction to BMC Property Tax

BMC property tax is a mandatory levy imposed by the Brihanmumbai Municipal Corporation on property owners in Mumbai. It is a primary source of revenue for the BMC, used to fund civic amenities like roads, water supply, sanitation, and public infrastructure.

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Understanding the Property Tax System

Topic	Details
Legal Framework and Authority	The BMC property tax is governed by the Mumbai Municipal Corporation Act, 1888. The BMC is responsible for assessing, collecting, and managing property taxes across Mumbai.
Types of Properties Subject to Tax	Residential properties (flats, bungalows, etc.), Commercial properties (offices, shops, etc.), Industrial properties, Vacant land within BMC limits
Key Components of Property Tax	Capital Value: Based on the market value of the property, Tax Rate: Determined by property type and location, Additional Charges: Water tax, sewerage tax, and education cess

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How BMC Property Tax is Calculated

Topic	Details
Capital Value System (CVS)	Since 2010, BMC uses the Capital Value System, where tax is calculated based on the property’s market value rather than the earlier Rateable Value System.
Factors Affecting Property Tax	Property location (ward-specific rates), Type of property (residential, commercial, etc.), Age and condition of the property, Usage (self-occupied or rented)
Step-by-Step Calculation Process	1. Determine the capital value using BMC’s ready reckoner rates. 2. Apply the property type multiplier (e.g., 0.316 for residential). 3. Add applicable taxes (water, sewerage, etc.). 4. Calculate the final tax using the BMC tax rate.

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Payment of BMC Property Tax

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Topic	Details
Online Payment Process	1. Visit the BMC official portal (https://portal.mcgm.gov.in). 2. Log in using your property account number. 3. Verify bill details and make payment via net banking, UPI, or card.
Offline Payment Options	BMC ward offices, Designated banks, Citizen Facilitation Centers (CFCs)
Due Dates and Penalties for Late Payment	Tax is payable annually or semi-annually (April and October). Late payments incur a 2% monthly interest penalty.

Exemptions and Rebates

Topic	Details
Eligible Properties for Exemptions	Properties used for charitable purposes, Religious institutions, Government-owned properties
Rebates for Specific Groups	Senior citizens (above 60 years), Differently-abled individuals, Properties below 500 sq. ft. in slums
How to Apply for Exemptions	Submit an application with supporting documents (e.g., age proof, disability certificate) at the nearest BMC ward office or online.

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Documents Required for BMC Property Tax Payment

Document Name	Purpose	Notes
Property Ownership Proof (Sale Deed)	Verifies legal ownership of the property	Mandatory for all property owners
Previous Property Tax Receipts	Ensures prior payments are accounted for	Helps verify outstanding dues
Property Identification Number (PID) / Unique Property Identification Number (UPIN)	Unique identifier for each property	Issued by BMC/MCGM
Government-Issued ID Proof (Aadhaar, PAN, etc.)	Owner verification	Required for KYC and address confirmation
Property Tax Bill or Demand Notice	Reference for current tax due	Issued by BMC
Occupancy or Completion Certificate	Confirms property is fit for use	Applicable for new constructions
Building Plan Approval	Validates approved construction	Required for new or renovated properties
NOC from Housing Society (if applicable)	Confirms society’s approval	For properties in cooperative housing societies
Utility Bills (Electricity/Water)	Supporting evidence of property usage	Sometimes required for additional verification
Address Proof (Aadhaar, Voter ID, Passport)	Confirms owner's address	Must be government-issued

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Benefits of Timely BMC Property Tax Payment

Benefit	Description
Avoidance of Penalties	Paying on time helps you avoid late fees and penalties imposed by BMC.
Continuous Civic Services	Ensures uninterrupted access to essential municipal services like water, sanitation, and waste management.
Legal Compliance	Keeps your property records clear and compliant with municipal regulations.
Ease in Property Transactions	Up-to-date tax payments simplify processes like selling, transferring, or mortgaging your property.
Eligibility for Loans	Banks often require recent property tax receipts for approving home or mortgage loans.
Peace of Mind	Timely payments reduce stress and prevent legal disputes or notices from the BMC.
Contribution to City Development	Your payments support the maintenance and development of local infrastructure and amenities.

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How to Calculate Your Property Tax Online

Step	Action
1	Visit the official BMC (MCGM) Property Tax Portal.
2	Select the 'Property Tax' or 'Tax Calculator' option on the portal.
3	Enter required property details (zone, ward, locality, carpet area, usage, occupancy, year of construction, etc.).
4	Apply the BMC tax formula: Property Tax = Tax Rate × Capital Value (where Capital Value = Market Value × Carpet Area × Use Factor × Age Factor × Floor Factor × Occupancy Factor).
5	Click 'Calculate' to view your estimated property tax amount.
6	Review the calculated amount and proceed to payment if desired.

FAQs

Que: How do I find my property account number?
Ans: Check your previous property tax bill or log in to the BMC portal (https://portal.mcgm.gov.in) using your property details to retrieve it.

Que: What happens if I miss the BMC property tax payment deadline?
Ans: Late payments incur a 2% monthly interest penalty until the dues are cleared.

Que: Can I pay BMC property tax in installments?
Ans: Yes, BMC allows payments annually or semi-annually (due in April and October).

Que: How can I apply for a property tax exemption?
Ans: Submit an application with relevant documents at a BMC ward office or online via the BMC portal.

Que: Who can I contact for BMC property tax issues?
Ans: Reach out to the BMC Helpline at 1916 or email propertytax@mcgm.gov.in for support.