Brihanmumbai Municipal Corporation’s Property Tax Collection Exceeds Target By ₹356 crore

The Brihanmumbai Municipal Corporation (BMC) has surpassed its property tax collection target for the financial year 2023-24 by a significant margin, demonstrating robust revenue management despite initial challenges. Initially aiming for a property tax revenue of Rs 6,000 crore, the BMC faced public outcry due to a 17.5% increase in property tax bills issued in December 2023. In response, the civic body revised the bills and delayed their issuance until February 2024. Despite these setbacks, the BMC successfully collected Rs 4,856 crore, surpassing its revised target of Rs 4,500 crore by eight percent.

To achieve its target, the BMC adopted several proactive measures. The civic body aggressively pursued outstanding payments from major defaulters, publishing a daily list of top ten defaulters on its website, which incentivized many to clear their dues. In a decisive move, the BMC attached 24 properties belonging to chronic defaulters, totaling Rs 180 crore in outstanding dues. These properties will be auctioned if the owners fail to settle their debts. To facilitate timely payments, civic amenity centers remained open on weekends and public holidays, providing taxpayers with additional opportunities to clear their dues.

The highest property tax collection came from the western suburbs, contributing Rs 2,455 crore, followed by the island city with Rs 1,425 crore, and the eastern suburbs with Rs 968 crore. Notably, the K/East ward emerged as the top contributor with Rs 463 crore, followed closely by the H/East ward at Rs 456 crore.

While the BMC has surpassed its revised target, overall property tax collection remains at its lowest in two years. With the next revision due in 2025, and considering the delayed billing process this year, timely communication and citizen outreach efforts will be crucial for the BMC to maximize revenue collection in the future. 

BMC's achievement in exceeding its property tax collection target reflects its commitment to effective revenue management amidst challenges. By employing proactive strategies and leveraging regional contributions, the civic body has demonstrated resilience and efficiency in its financial operations.