Kolkata Property Tax

Taxes are the chief source of income for a state government. The taxes collected from the residents dictate the availability of resources. Every property is an asset under the umbrella of taxation, which means to say that a property tax is an annual amount paid by the property/ landowner to the government of a state to financially back these bodies in executing their welfare measures. Property tax payment procedure varies based on government policies. It can either be paid to the local state government or to the Municipal Corporation. In this article, we look at the various aspects of Kolkata property tax in detail.

Types of Property

There are four types of properties, the tax estimation of which is based on certain criteria.

Land - it refers to a basic premise without any construction.
Improvisation of lands - it refers to the man-made immovable properties like buildings and godowns.
Personal property - it refers to the movable manmade objects like cranes, cars or buses.
Intangible property.

Uses of Property Tax

The residents of Kolkata are liable to pay property taxes to the Kolkata Municipal Corporation (KMC) every year. The Municipality collects the funds that are collected under the property tax and uses the money to revamp many civic amenities. The KMC has enabled self-assessment of an individual's property by limiting the increase and decrease in property tax.

Required Information

Given below is a list of information to be known and projected while paying a property tax.

Zone (where the property is located)
Ward Number
Colony Name
Type of Property
Type of Owner
Property Owner particulars
Property Identification Details
Correspondence Address
Property Details

Eligibility

All residents of Kolkata aged above 18 are eligible to pay Property tax in the city.

Calculation of Property Tax

The property owners in Kolkata can now calculate property taxes on their own using the new Unit Area Assessment (UAA) system. By calculating tax using this system, the residents can avoid subjectivity and ambiguity that earlier prevailed in the Annual Rateable Value system.

Unit Area Assessment (UAA)

Under the UAA system, the entire city of Kolkata is divided into 293 blocks. These divided blocks are classified into seven categories (A, B, C, D, E, F and G). This classification is based on the market value, infrastructure, facilities, etc. that are available in every block. Every block has an annual value per square feet which is known as the Base Unit Area Value (BUAV). Category 'A' has the highest BUAV, and 'G' has the lowest BUAV. This method makes way for all properties of the same category or the same block to be taxed equally. However, a taxpayer has to pay only for that area that he/ she lives in and not for neighbouring areas like gardens.

Annual tax = BUAV x Covered space/Land area x Location MF value x Usage MF value x Age MF value x Structure MF value x Occupancy MF value x Rate of tax.

Taxation for Senior Citizens

The West Bengal government has passed a bill that provides a 10% refund on municipality property tax to the senior citizens aged above 65 years. The same is applicable to widows and physically challenged people.

Payment Procedure

The property tax in Kolkata can be paid both online and offline methods. Let us understand the procedure related to each of them:

Online Method

Step 1: Log on to the website The applicant has to visit the official website. Step 2: Enter the Assessee Number The taxpayer has to enter the Assessee number in the appropriate box. [caption id="attachment_62469" align="aligncenter" width="1006"]

Kolkata Portal Step 3: Click Search Once the taxpayer enters the assessee number, he/ she has to click on the search option. Step 4: Make Payment The taxpayer has to remit the required fee using credit/ debit cards.

Offline Method

Step 1: Visit the Center The applicant has to approach the Municipal Corporation. Step 2: Obtain the application He/she has to obtain the application form by paying the appropriate fee. Step 3: Enter the Details The applicant has to enter all the required details in the application form. Step 4: Submit the application Once all the details are entered, the applicant has to submit the application to the concerned authority. Step 5: Collect the Challan After remitting the fee in the fee counter, the applicant receives a challan from the officials. This challan can be used as a proof for paying property tax.