Bengaluru Property Tax Collection Sees Sharp Rise, BBMP Nears ₹5,000 Crore Mark

Bengaluru's civic body, the Bruhat Bengaluru Mahanagara Palike (BBMP), has reported a remarkable increase in property tax collection, surpassing last year's figures by over ₹1,000 crore.

As per the latest data released, BBMP collected ₹4,930 crore in property tax for the fiscal year 2024-25, up from ₹3,918 crore in 2023-24. The civic agency had set a target of ₹5,210 crore for the current year and has so far achieved 94.62% of that goal - marking a strong performance in revenue mobilisation.

Property tax is a tax imposed by local governments (like BBMP in Bengaluru) on real estate properties-this includes land and buildings owned by individuals or businesses.

Mahadevapura, Yelahanka Lead the Charts

Among the eight BBMP zones, Yelahanka and Mahadevapura emerged as top performers. Yelahanka collected ₹464.66 crore, exceeding its target of ₹445.24 crore. Mahadevapura followed closely, collecting ₹1,310.58 crore, achieving 100.12% of its target of ₹1,309.04 crore.

The South Zone came in third with ₹733.65 crore collected against a target of ₹769.50 crore. The East Zone collected 93.52% of its target, followed by Dasarahalli at 92.72%, and the West Zone at 92.17%. Rajarajeshwari Nagar recorded 87.89%, while Bommanahalli lagged behind with the lowest collection at 83.75% of its target of ₹585.11 crore.

Strong Measures to Recover Dues

To boost revenue, the BBMP implemented several measures to recover tax arrears from defaulters. These included a One-Time Settlement (OTS) scheme, auctioning of immovable properties, and intensified recovery drives.

The increased collection reflects the civic body's aggressive push toward improving its financial health and enhancing public services through better compliance and accountability.

Property tax revenue is primarily used to fund various essential services and infrastructure. These funds help maintain and improve roads and infrastructure, ensuring smooth transportation and connectivity. They also support garbage collection services, keeping the area clean and hygienic. Additionally, property tax contributes to street lighting, enhancing safety and visibility in public spaces. The money is also allocated to the upkeep of parks and public amenities, providing recreational spaces for residents. Finally, a portion of the funds is directed towards local development projects, contributing to the growth and modernisation of the city or town.