How to Calculate Your Property Tax Under BBMP SAS Scheme

UPDATE: You can now pay your BBMP Property Tax online! Visit this post for instructions on how to do it.

NOTE: From 2011-12 onwards, BBMP has added Solid Waste Management (SWM) Cess to Property Tax. This cess needs to be added to the total property tax calculated below (after deducting 5% rebate if paid before May 30). The rebate is not applicable to SWM cess.

Calculation of Property Tax has always been a very complicated process for a lot of people, similar to filing one’s IT returns. The maze of numbers and formulas can leave one bewildered!

So here’s my small effort to simplify and explain the process of calculating your Property Tax, and also paying it!

Note that the calculations are as per the Self Assessment Scheme (SAS) currently used by the BBMP in Bangalore. Also note that, although the information is generic, the calculations are specific to flats (since I’m staying in a flat!).

Pre-requisites

To calculate your Property Tax, you need the following information beforehand:

1. Zone in which your apartment/flat lies. Zonal classification has been revised in 2016. For the new 2016-17 zonal classification, please refer to this link (for the older 2008-09 zonal classification, refer to this link instead).

2. Total Built-up Area of your apartment. This should be specified in your apartment’s Sale Deed. If not, you can calculate it from your apartment’s floor plan. Some Sale Deeds only mention the Super Built-up Area (which may include the car park area), so you can use that (after subtracting the car park area, if applicable). It’s better to clarify this while purchasing the apartment.

The Built-up Area includes the Carpet Area of your house plus the area occupied by the walls. Note that this is different from Super Built-up Area, which includes your share of the common areas too (gym, garden, club house, etc.). See this link to understand the difference and to calculate the Built-up Area.

3. Total car parking area allotted to you. If you do not know this figure (or it is not specified in your Sale Deed), then you can mention a rough figure of 150 sq. ft.

4. Year of construction of apartment. This is the year in which construction of the property was completed. The builder or your neighbours can provide you this information.

Assumptions

For the purpose of this calculation, I will assume:

– Zone as D (my zone!)

– Built-up Area of the apartment as 1400 sq. ft.

– Car parking area as 150 sq. ft.



– Completely self-occupied apartment (i.e. entire 1400 sq. ft. is occupied by me and my family, and no part is let out to tenants.)



Calculation

We will use the following variables:

D = (Tenanted area of apartment) x (Rate per sq. ft. of tenanted apartment area) x 10 (months)

E = (Self-occupied area of apartment) x (Rate per sq. ft. of self-occupied apartment area) x 10 (months)

F = (Car park area) x (Rate per sq. ft. of car park area) x 10 (months)

G = Gross Unit Area Value (GUAV)

H = Rate of depreciation in %

I = Depreciation amount

J = Net Unit Area Value (NUAV) of apartment after depreciation

K = Property Tax

The rate per sq. ft. of tenanted/self-occupied apartment area and car park area depends on your Zone. You can get it from Annexure I of the BBMP Property Tax Handbook.

Depreciation rate for your apartment depends on the age of your apartment. You can get the applicable rate from Annexure III of the Property Tax Handbook.

As per Annexure I, for Zone D the rates per sq. ft. are Rs. 3.20 per sq. ft. (tenanted aptt.), Rs. 1.60 per sq. ft. (self-occupied aptt.) and Rs. 0.80 per sq. ft. (car park area) respectively.

Also, since my apartment is less than 3 years old, the depreciation rate is 3% as per Annexure III.

The formula is:

G = (D + E + F)

I = (G x H) / 100

J = G – I

K = J x 20%

For my case:

D = 0 x 3.20 x 10 = 0 (0 because no portion of the house is tenanted)

E = 1400 x 1.60 x 10 = 22,400

F = 150 x 0.80 x 10 = 1,200

G = (D + E + F) = 0 + 22,400 + 1,200 = 23,600

I = (G x H) / 100 = (23,600 x 3) / 100 = 708

J = G – I = 23,600 – 708 = 22,892

K = J x 20% = 22,892 x (20 / 100) = Rs. 4,578.40

So, our basic Property Tax is Rs. 4,578.40. But wait, that’s not all! On this figure, you have to shell out a cess of 24% (refer to Annexure I of the Handbook again).

That comes to 4,578.40 x (24 / 100) = Rs. 1,098.82

Hence, total Property Tax payable is 4,578.40 + 1,098.82 = Rs. 5,677.22.

Note that, on this figure, you get a rebate of 5% if you pay on or before May 30, 2010.

Also, if you don’t pay the Property Tax on time, there is a penalty of 2% per month on the total Property Tax payable.

You can perform the same calculation online using BBMP’s Online Property Tax Calculator. Select “Residential Calculator” for residential areas (flats or plots). See the image below for how it looks:

Property Tax Calculator

Payment

For payment of Property Tax, you have to use either Form IV or Form V. Form IV should be used if there is no change in the details from last year (i.e. no change in Built-up Area, no change in self-occupied/tenanted status, etc.). If there is any change in details, you must use Form V.

So if you have purchased the apartment from builder/another person, given it on rent, stopped renting it, or constructed additional area in the house, in the current year, then you must use Form V. Otherwise Form IV is sufficient.

Online payment of Property Tax for 2009-10 and 2010-11 can be done on the BBMP SAS website. Note that you will need the Application No. of the 2008-09 SAS Property Tax paid receipt. If someone else has paid it, they can give you the details.

Payments can also be made at the BBMP Citizen Service Centres (click here for the list), as well as Bangalore One outlets.

Note that if you have purchased the apartment in the current year, it is advisable to pay it at the BBMP Citizen Service Centre, as the online Form V does not allow change in name of the owner.

Useful Links


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97 Comments

  1. VeeruVeeru06-30-2016

    Good to see the post with examples, it helps lot better to understand

  2. GovindGovind04-27-2016

    Very good. But the tax are hiked too much compared to the state of infra and living of the area ..

  3. Kirthi PrasadKirthi Prasad04-19-2016

    vijay may i know what is amt per sq ft for non residential floors or godowns for different khatas

  4. MandannaMandanna04-15-2016

    Hello Vijay,
    I had wrongly filled my Zonal Classification for current year SAS 2016-17, in my online application form, Because of my saving step 1, now I am not allowed to make the correct entries in my application in step 1, it cannot be edited, will you please advice me how to rectify my mistake and fill the correct zones for proper tax evaluation,
    Many Thanks in advance,
    With Best Regards,
    Madhu

  5. Shiva KShiva K04-12-2016

    I bought 4 years ago, To pay the Tax I went to the person in BBMP help centre and he did the calculation as follows, BBMP guy took the UDS = Undivided share of Land in the sale deed as Car park area 374 sqft and the built up area is 1300 sqft (which is supposed to be including car park ) as tennated area, Hence I ended up paying for the UDS 374 sqft and 1300 sqft tenanted area. Please can you advice if i should fill the form V ? I feel as the UDS is a share of land I should not be paying for it and hence I think I need to split the 1300 sqft for tennated and carpark area and only pay TAX on 1300 sqft and not on 374sqft of UDS. Kindly share your thought.

    • Vijay PadiyarVijay Padiyar04-12-2016

      The BBMP SAS property tax calculations are based on built-up area of the property which, by definition, does not include the undivided share of land. However, BBMP says that property owners should actually file tax based on the super built-up area (SBA) and not the built-up area. It’s your decision as to what you want to do.

  6. Vidya m rVidya m r04-12-2016

    Vijay sir our last time it was e zone which is now changed to d zone. The computer operator who gave me the receipt said because it is d the amount is hiked. I am totally blanked.

  7. Vidya m rVidya m r04-12-2016

    Sir my name is vidya we leave in Kst kengeri shekeri apartment last year we paid 934 rs tax but yesterday I went to ward office to collect the tax receipt he asked me to pay 2670/- tax amount to 2016-2017. Sir whether this is correct. Our house is very small lst floor with Hall and kitchen.

    • Vijay PadiyarVijay Padiyar04-12-2016

      There has been a hike in property tax rates and zone upgradation of several areas so certainly an increase in property tax is to be expected. You can calculate the revised property tax for your property yourself using the formula given here.

  8. sambasiva raosambasiva rao04-08-2016

    How to get 2008 SAS Zone

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