BMC Budget 2025: Mumbai civic body projects property tax revenue at Rs 5,200 cr

For the upcoming fiscal year, property tax revenue is projected at Rs 5,200 crore, a key source of Brihanmumbai Municipal Corporation (BMC) funding. 

“Revenue from property tax for the year 2024-25 is revised to Rs 6,200 crore which was estimated at Rs 4,950 crore in budget estimates 2024-25. Also, budget estimates of Property Tax for the FY 2025-26 is proposed at Rs 5,200 crore,” the BMC Budget 2025 documents reads.

“Implementation of the final decision of the Supreme Court regarding property tax is under process. Hence, the property tax bills for the FY 2023-24 were issued on a protective basis on 26.02.2024. The due date being 25.05.2024, it was not possible to make demands from the parties before 31.03.2024. Therefore, actual property tax collection in FY 2023-24 was Rs 2860.60 crore against annual demand raised. Further, property tax bills of Rs 6,742.74 crore were issued on 13.09.2024 for the F.Y. 2024-25. As such, property tax amounting to Rs 5229.20 crore is received up to 31.12.2024 which includes an amount of Rs 1,491.36 crore of F.Y. 2023-24,” the BMC Budget 2025 documents reads.

As per the budget documents, the majority of the property taxpayers are paying 50 per cent amount of property tax as per the interim decision of Writ Petition 2592/2013. At present, total property tax amounting to Rs 22,565.38 crore is outstanding up to 31.03.2024. The amendment to be made in rules as per the final decision of the Supreme Court in Petition No.17009/2019 is under process.

The Brihanmumbai Municipal Corporation (BMC), considered the richest civic body in the country, on Tuesday presented its budget of Rs 74,427 crore for the year 2025-26.

Meanwhile, the BMC has in its budget for the financial year 2025-26 allocated Rs 1,000 crore for the civic bus services BEST, acknowledging its financial challenges.

The Brihanmumbai Electric Supply and Transport (BEST) undertaking, the second-largest public transport system in the metropolis after suburban trains, operates a fleet of around 3,000 buses, serving more than 30 lakh commuters daily.

In the budget document presented on Tuesday, the BMC stated that despite its own financial commitments, it has made the provision considering BEST`s financial position.