The Aryavarth Express
Agency (Bengaluru, Karnataka): The Karnataka Legislative Assembly has passed the tax-payer-friendly BBMP Amendment Bill 2024, significantly reducing the penalty on property tax dues by 50 percent within Bengaluru city limits. Deputy Chief Minister DK Shivakumar, also the Bengaluru City Development Minister, introduced the Amendment Bill during the post-lunch session.
The new amendment is poised to benefit approximately 13-15 lakh people in Bengaluru, including 5.51 lakh taxpayers, 5-7 lakh individuals outside the property tax bracket, and 3 lakh partial property taxpayers. The BBMP (Bruhat Bengaluru Mahanagara Palike) expects to collect penalties worth Rs 1,000 crore, with this reduction representing a substantial relief of Rs 2,700 crore for Bangaloreans.
Key provisions of the Amendment Bill include special rebates for poorer segments of society. Government residential buildings and buildings in slums are exempt from property tax penalties, along with buildings up to 1,000 square feet used for personal purposes. Additionally, residential and mixed-use properties will now only have to pay property tax penalties for a maximum period of five years, regardless of the duration of default, with interest being waived off for dues beyond five years.
Shivakumar highlighted the bill’s taxpayer-friendly nature, emphasizing its intent to aid common people while acknowledging the financial burden it places on the government. This move comes as a significant change from the previous BJP government’s amendment, which had doubled the penalties, leading to a substantial financial burden on property taxpayers. The Congress government’s new amendment thus markedly reduces the penalty burden on Bangaloreans.