Property Tax Guide – Navi Mumbai
The provisions of the Bombay Provincial Municipal Corporation Act, 1949 are applicable to the Navi Mumbai Municipal Corporation (NMMC) as well. According to the provisions included in section 127 and 129 of the BPMC Act, every property that falls in the purview of Municipal Corporation are subjected to property tax.
How is the Property Tax Assessed and Calculated in Navi Mumbai?
The NMMC calculates the property tax on the basis of Rateable Value of the said property. The Rateable value is fixed by the NMMC every year depending on the annual rent rate of the property, which is based on the ward and the type of construction of the property, change in user as well as additions and extensions in the property. Property tax is levied as a percentage of the rateable value of the property. The NMMC, in a bid to be transparent and to keep the citizens and tax payers well informed, publishes the rates used for fixation of rateable value every year.
Online Property Tax Calculator: The best way to calculate property tax in Navi Mumbai is by using the online property tax calculator available on NMMC’s website. You just need to fill up the basic information such as Ward, Plot type, Usage, Occupancy Status in order to compute the property tax that is to be paid.
Manual Calculation of Property Tax: According to NMMC’s official website, the annual property tax for residential properties is 38.67% of Rateable Value and for non-residential properties it is 68.33% of Rateable Value. For manual calculation, tax payers have to first find the estimated rent per month which is dependent on values such as area of property, ward and type of construction. Values based on Ward can be pulled from the NMMC website. Given below is an example that will help you with manual calculation of property tax:
Let’s say the area of the property is 100 sq.mtr. and the property is RH Type tenement in Nerul Node
100 sq. mtrs @ Rs.10/- per sq.mtr. per month. Estimated monthly rent is Rs.1000/-
Annual Estimated Rent = Estimated monthly rent × 12 = 1000×12 = Rs.12000/-
Less = 10% Statutory Deduction = 12000 – 1200 = Rs.10800/-
Thus, Rateable Value = Rs.10800/-
Annual Property Tax = 38.67% of Rs.10800 (Rateable Value) = Rs.4176/-
In the case of non-residential property, Annual Property Tax = 68.33% of Rs.10800 (Rateable Value in this case) = Rs.7380/-
Where to pay Property Tax?
Online Payment: The easiest and most convenient way to pay your property tax bill in Navi Mumbai is to login to the official property tax payment portal on NMMC’s website. Once you input your property code at the given link, you will be directed further to make the payment accordingly. You can pay through your credit card or through the net banking system of reputable banks such as Axis Bank, SBI and ICICI.
Manual Payment: However, if you do not prefer to pay online, then you will have to walk to NMMC office to make the payment. The NMMC also sets up special tax collection centers in each zone and ward offices after the property tax bills are issued and till the property tax bill payment deadline of 31st March every year. Given in the link are the addresses of the ward offices where one can pay property tax bills
When to pay property tax?
According to the NMMC website, property tax bills are to be paid within 15 days of its service, which more often than not is before 31st March every year. However, the date can change every year and hence one needs to check the due date mentioned on the property tax bill.
Consequences of non-payment or delay in payment of Property Tax
The NMMC demands that the property tax bills are paid within 15 days of the service of the property tax bills. If the tax payer fails to pay the bill within 15 days of Notice of Demand, a Notice Fee @0.50% of the tax amount is levied on tax payers and a service of warrant issued. If payment is not made within 5 days of service of warrant, then Rule 47 of taxation rules provides for sale of the properties attached by public auction.
