Property Tax

Mumbai: The property association of Mumbai is gearing up to challenge the Civic body of Greater Mumbai against the revised method of property tax calculation.

Accepting the plea the Bombay High Court has asked the municipal corporation to file its reply by Nov 11. The court will hear the plea with two other institutes who had also complained against the body.

The association has over 8,000 active members across the state. The result of these cases will have an impact on many property owners, charitable trusts and religious institute in the city. The association is seeking a stay order on the revised system.

According to the plea, the imposed property tax should be reasonable, taking into account the paying capacity of the property owner. Earlier, five trusts in Mumbai approached the court challenging the civic body notices on tax calculated on capital value.

In the new system, the tax is fixed at 1.3 % of capital value for the commercial and 0.35 % for the residential units.There were certain concessions and leverage given to the charitable organizations but there is no such thing avail in the new syytem.

The association is also ready to file a plea in the apex court if the verdict will come against them. The association has also written letter to the Maharashtra CM to intervene in the matter.