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How to deal with the exorbitant increase in property tax in Mumbai

Writer # Indiabonds | August 7, 2025

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If you’ve recently opened your property tax bill and felt like the amount couldn’t possibly be right—you’re not overreacting. You’re just a regular Mumbaikar dealing with something that’s become far too common lately.

The property tax hike in Mumbai has caught many people off guard. For some, it’s doubled. For others, it feels completely random. Either way, it hurts.

So what do you do when your property tax in Mumbai suddenly shoots up? Ignore it? Panic? Pay up even if it doesn’t feel fair? Take a breath. Let’s walk through it together—plain and simple.

First, You’re Not Alone

This isn’t just happening to you. Across Mumbai, people are seeing higher-than-usual property tax bills, even when nothing about their property has changed.

What’s causing it? A few things:

  • The BMC has updated some of its systems.
  • In many cases, older property records are being reassessed.
  • Sometimes, a small error—like a wrongly entered square footage—can throw off the whole calculation.

And sometimes… it just feels unexplained. But the good news is, you can do something about it.

Step 1: Don’t Panic. Just Compare.

Before jumping to conclusions, pull out last year’s bill and compare it with this year’s. Look for:

  • Has your property area suddenly increased?
  • Has your usage changed from “residential” to “commercial”?
  • Is there any change in the property type or ward info?

Sometimes, it’s just a data entry mistake. But it’s your job to catch it and raise a flag.

Step 2: If Something Feels Wrong, Raise It

If something on the bill looks off, don’t just assume you’re stuck with it. You have every right to raise a complaint.

Visit your local ward office (yes, it might take a few hours) or go to the Property Tax Online section of the BMC website. There’s a place where you can submit a correction request and upload your documents.

Here’s what usually helps:

  • Last year’s bill
  • Property registration document
  • Floor plan or approved blueprint (if available)

Don’t worry if you don’t have everything perfect. Just be honest and explain clearly why you think something’s wrong.

Step 3: There’s a Digital Way to Fix Things

If standing in lines isn’t your thing (and honestly, who enjoys that), most corrections and complaints can be submitted online.

Go to the Property Tax Online section on the BMC website and look for “correction request.” It’s straightforward—you’ll need to attach scanned documents and give a short explanation.

You won’t get an immediate response, but you’ll get a complaint number. Keep checking on it, and follow up if needed. Sometimes, a quick visit after the online submission can speed things up.

Step 4: Worried About Penalties? You Can Request a Waiver

Let’s say the bill is high because you missed the payment deadline. The penalty and interest can stack up fast. But here’s the thing—if your delay was due to confusion, illness, or even a genuine mistake, you can apply for a penalty waiver.

The BMC sometimes announces schemes to reduce or waive penalties altogether, especially for honest taxpayers. Keep an eye out for such notices.

And again, if you feel the penalty was unfair, don’t be afraid to write to your ward office. A simple application and a conversation can sometimes solve what feels impossible.

Step 5: Pay Only Through the Official Portal

Once things are sorted and you’re ready to pay, stick to the official BMC Property Tax Online portal. It’s clean, simple, and gives you an instant receipt.

Avoid using unknown apps or paying through middlemen. You don’t want to chase someone for proof of payment later.

FAQs

Q: What’s the best way to win a property tax appeal?

 Have your facts ready. Compare past bills, show documents, and clearly explain what’s wrong. Stick to the point, be polite, and follow up. It may take a little time, but it works.

Q: Can property tax penalty be waived in Maharashtra?

Yes. If you missed payments for a genuine reason—wrong billing, illness, or confusion—you can request a waiver. BMC also announces limited-time waiver schemes. Don’t miss them.

Q: How to make correction in  property tax?

Go to the Property Tax Online portal, submit a correction request with proper proof, and keep checking the status. Or visit your local ward office if you prefer handling it in person.

Q: What is the best evidence to protest property taxes?

Old tax bills, property registration, floor plans, and any written communication with the BMC can help. Basically, anything that shows what’s wrong and what it should be.

One Last Thing

Getting a high property tax bill feels frustrating. Especially when you’re managing expenses, dealing with inflation, and now suddenly this shows up. But don’t ignore it. Most of the time, there’s something you can do—and it doesn’t have to be complicated.

Check your bill. Raise your voice. Ask questions. Use the tools that exist. And most importantly, don’t just pay because you feel pressured.

Mumbai’s a tough city—but you’re tougher.

Disclaimer : Investments in debt securities/ municipal debt securities/ securitised debt instruments are subject to risks including delay and/ or default in payment. Read all the offer related documents carefully.