123ArticleOnline Logo
Welcome to 123ArticleOnline.com!

ALL >> Real-Estate-and-Foreclosure >> View Article

Bangalore Property Prices To Rise

By Author: Vinay Kumar

Total Articles: 128

The Bruhat Bangalore Mahanagara Palike(BBMP) is planning increase the property taxes by a whopping 20% for residential properties in Bangalore and 25% for commercial properties in Bangalore. BBMP is now under a huge debt as inflation has soared but the property tax rates have remained the same ever since 2008 inspite of dealing with acute cash crunch. The state government now has decided to tackle the situation.


The new property tax rates will be applicable from April 2015. Property tax has been increased after a directive from the State government to the BBMP. The State government has also asked the BBMP to revise the property tax rates every three years. This directive overturns BBMP proposal of raising taxes in five years. With the hike the civic agency will get an additional revenue which will range between Rs 850 crore and Rs 1,000 crore. Money collected through increase in property tax will towards payment of servicing loans and pending contractors' bills.


Increase in property tax in real estate Bangalore is going to pinch the taxpayers' pockets. But the government has tried to soften the blow as according to rules mandate BBMP has to raise taxes by 15% in every three years; If this trend would have followed then the tax rates for real estate Bangalore would have increased by 32.25% as compared to the 2008 level for residential Bangalore real estate buildings. But, the State government has increased tax of Bangalore real estate by only 20%.


The bigger Challenge for the civic agency is increasing the property tax collections. The BBMP has always failed to meet its targets in the last 5 years. The agency for the year 2014-15 had kept an ambitious target of Rs 2,500 crore, but BBMP has collected only Rs 1,120 crore till July end this year. It is estimated that another Rs 500 crore will come in by the end of the financial year. According to the civic agency in the last five years around three lakh property owners have not paid taxes. These owners owe the agency an about Rs 588 crore.


Increase in taxes are not just making taxpayers unhappy but sitting corporators too are feeling uncomfortable after the decision was taken. Many corporators are questioning the timing of the directive as it might influence the BBMP polls. Property taxes in the city were due to for a revision in they year 2011, the council, refused to take such an unpopular decision.


Makaan.com is a well known property site that hosts real estate in India and properties. The property site has a comprehensive list of Bangalore properties and India real estate.

Total Views: 98Word Count: 440See All articles From Author

Real Estate and Foreclosure Articles

1. Real Estate In Redlands California Helps In Buying And Selling Houses
Author: Vikram Kumar

2. Find The Best Assistance From Keller Williams Redlands California Regarding Sale Of Houses
Author: Vikram Kumar

3. Buying And Selling Homes Made Easy With Realtor In Redlands California
Author: Vikram Kumar

4. Redlands Investment Property: Just The Way You Want It!
Author: Vikram Kumar

5. The Best Real Estate Agent In Redlands, California
Author: Vikram Kumar

6. Tata Value Homes Sector 150 Noida
Author: Tata Housing Noida Sector 150

7. Real Estate Agents In Redlands California Help You In Relocation
Author: Vikram Kumar

8. Factors To Consider When Calculating Arv For A Fix And Flip
Author: WalnutFinance

9. Luxury Home Designs Sydney- The Best Home Design Company
Author: Leila Adam

10. Finding A Down Payment For Your Real Estate Investment
Author: WalnutFinance

11. Ajnara Group – Luxury Housing Developers
Author: Nandini

12. How To Find Best Realtors In Cape Cod Massachusetts
Author: Robert Jackman

13. Gaur Siddhartham Excellent Connectivity Facility
Author: Amit Sharma

14. Deferred Payment Has Been The Latest Trend Attracting Prospective Buyers To Maradu. In All Of Kochi
Author: Tripti

15. Deen Dayal Jan Awas Yojana (ddjay) Affordable Housing Scheme
Author: gaurav seth


Login To Account
Login Email:
Password:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: