Pune Property Tax

PMC Property Tax
 

Pune Property tax is the second-highest source of revenue for the Pune Municipal Corporation (PMC). The municipal body imposes taxes on properties based on their location, and it has more than 6 lakh properties under its purview. It aims to increase its range even more with the Graphic Information System (GIS) technology.

Pune property tax is levied on constructed properties as well as vacant lands across the area governed by the PMC. It is calculated according to a property’s carpet area, using a capital value-based system.

How is PMC Property Tax Calculated?

PMC uses the following formula to compute property tax in Pune:

Property Tax = Capital Value x Rate of Tax
Where,
Capital Value = Base Value x Use category x Building type x Built-up area x Age factor x Floor factor

The municipal corporation offers an online calculator that can help calculate property tax online. Enter the following details to calculate the amount:

• Area
• Year of construction
• Locality
• Total plinth area
• Usage
• Type

The PMC property tax bill can be settled both online and offline. In the next section, take a look at the step-by-step guide in relation to both these modes of payment.

Steps to Pay Pune Property Tax

Here are a few steps to follow to pay property tax online -

• Visit the official website of Pune Municipal Corporation
• Select NEFT/RTGS option or the ‘pay online’ option
• Before clicking on submit, please enter all necessary details in relation to the concerned property
• Confirm the dues that are displayed on the screen, along with details of the property owner
• Enter the amount payable, and verify your name and mobile number
• Choose mode of payment; for example, debit/credit card or internet banking to complete payment of PMC tax online

Alternatively, property tax can be paid offline by visiting any of the 30 ward offices of PMC or a Citizen’s Facilitation Centre managed by the municipal corporation. Moreover, one can also visit any authorised bank branch to pay Pune property tax offline.

Pay the amount due in any one of the following ways:

1. Cash
2. Cheque (Note that it must be drawn in favour of ‘The Assessor and Collector of Tax, P.M.C Pune’)
3. Demand draft (Similar to a cheque, this must be drawn in favour of ‘The Assessor and Collector of Tax, P.M.C Pune’)

Pune Corporation Tax Due Dates and Rebates

For property taxpayers in Pune, it is essential to be aware of the following details -

Due date: The due date for the first half of a financial year, i.e., from 1st April to 30th September, is 31st May. However, for the second half of a financial year (1st October to 31st March), the date is 31st December.

Penalty: In case of delay in the payment of Pune property tax in the financial year’s first half, the PMC levies a penalty of 2% per month from June 1st. If an individual delays the payment in the second half of the financial year, the municipal corporation imposes a penalty on a monthly basis, from January 1st onwards.

Rebates: If an individual pays the entire amount of the property tax payable before May 31st, the following rebates will be made available to them:

• In the case of residential or non-residential properties and open plots particularly registered as residential buildings, a 10% discount is applicable on general taxation if the yearly rateable value doesn’t exceed Rs.25,000. However, if the yearly rateable value is more than Rs.25,000, a discount rate of 5% will be applicable.
• In the case of residential properties with rain-water, vermiculture and solar harvesting units, a discount rate of 5% will be available on municipal tax. The discount rate shoots up to 10% in case any two of these projects are installed at the property premises. Note that municipal taxes exclude water and other government taxes.

Exemptions from Payment of Pune Property Tax

Individuals can claim tax exemptions on properties used for worship or religious purposes. Further, properties registered with the charity commissioner as a charitable institute or trust do not come under the purview of property tax. Another important point to note is that property tax is allowed as a deduction from the taxpayer’s house property income during a financial year.

In Pune, if a property doesn’t fall in the range of the Pune Municipal Corporation, the Pimpri-Chinchwad Municipal Corporation (PCMC) assesses it to give it value and collects property tax.

Pimpri Chinchwad Municipal Corporation Property Tax Pune

Most aspects in relation to Pune property tax is similar in the case of PMC and PCMC. However, there some distinguishing factors which are discussed below.

Online tax payment procedure: If a property comes under the purview of PCMC, the owner must pay property tax by following the below steps.

• Visit the official website of PCMC
• Select the property tax option and click on ‘property bill’
• Input necessary details, such as Zone, GAT No., and owner name, to access the bill before making the payment

Concession: On paying the entire tax amount for the financial year by June 30th, a 10% concession on general tax is available. Furthermore, a 50% concession is applicable on general tax if the property owner is an ex-serviceman, women, or freedom fighter (or his wife). Moreover, a 40% rebate is available if a property is owned by individuals with more than 40% disability.

Note that both PMC and PCMC have different property tax rates. Find out more about these rates by visiting their respective official websites.