The BBMP has introduced a One-Time Settlement (OTS) scheme for government buildings and public sector undertakings (PSUs) under its limits. This scheme will be effective until March 31, and aims to facilitate the clearance of property tax dues.
According to BBMP officials under this scheme, all government buildings and PSUs can pay their property tax as per revised rates. For outstanding dues from 2019-20 onwards, property owners can avail OTS benefits by paying only the principal amount with zero interest and a nominal penalty of ₹100.
BBMP, in a release, has urged all eligible government entities to clear their pending property tax before the deadline. Failure to do so will result in double taxation from April 2025.
In the first week of March, the city’s civic body was preparing to issue notices for the recovery of long-pending service charges from prominent government buildings, including Vidhana Soudha, which houses the State Secretariat and has outstanding dues of ₹6.3 crore, according to BBMP data. However, the extension of the OTS scheme now appears to be aimed at providing relief to government buildings.
Although the BBMP has consistently maintained that government buildings must pay service charges in place of property tax and other cesses applicable to private properties, many government institutions have not paid these charges since 2008, when the BBMP was formed. These unpaid dues have since been accumulating, along with compounded interest and penalties, in the BBMP’s financial records.
Published – March 17, 2025 11:47 pm IST
