Mumbai: BMC Issues Notices to 100 Major Tax Defaulters, Rs 600 Crore in Dues Pending
Mumbai, 22nd November 2024: The Brihanmumbai Municipal Corporation (BMC) has issued notices to 100 major property tax defaulters in the city, with the top 10 collectively owing around ₹600 crore.
Raghuvanshi Mills Limited tops the list with ₹119.59 crore in dues, followed by M/s Omkar Developers Pvt Ltd with ₹104.78 crore. Six of these top 10 defaulters are linked to properties in the BMC’s G South ward, which includes the Prabhadevi area.
According to a senior official from the BMC’s tax assessment and collection department, legal notices were issued after defaulters failed to respond to earlier “demand letters.” If dues remain unpaid, the process will escalate with property attachment notices, seizure notices, and ultimately auction notices. The properties will be confiscated if payments are not made.
The BMC is acting under sections 203 to 206 of the Mumbai Municipal Corporation Act, which empowers the civic body to seize and auction properties to recover dues. Property tax, the corporation’s primary revenue source, must be paid within 90 days of receiving a notice. Failure to do so triggers a phased recovery process.
Initially, the tax assessment department contacts defaulters directly for payment. If this fails, a “demand letter” is issued, followed by a final 21-day notice. If dues remain unsettled, the property is confiscated.
The BMC also raises awareness about property tax obligations through various media platforms, offering property owners the option to pay taxes online.
