BMC Intensifies Property Tax Recovery: E-Auctions of Six Properties Worth Rs 455.48 Crore

The Brihanmumbai Municipal Corporation (BMC) has intensified its efforts to recover unpaid property taxes by deciding to e-auction six properties worth Rs 455.48 crore. These properties, which include vacant plots, residential plots, commercial plots, and hotels, are owned by defaulters who have failed to pay their property taxes despite repeated notices. The auction process is being initiated to ensure the timely collection of taxes and to meet the BMC's financial targets for the fiscal year 2025-26.

In addition to the six properties that are being put up for auction, two other property owners have been given a 21-day notice to pay their dues. If these owners fail to pay the outstanding tax within the specified period, the auction process will also be initiated for their properties. This move is part of the BMC's broader strategy to address the issue of property tax defaulters and to ensure that the civic body can meet its financial obligations.

The BMC has set a target of Rs 6,200 crore for property tax collection in the financial year 2025-26. As of February 4, 2026, the corporation has collected Rs 5,426.81 crore, which is a significant portion of the target. However, the outstanding arrears from defaulters are still a concern, and the e-auction of properties is seen as a crucial step to bridge this gap.

The properties that are being auctioned include:

1. Hotel Ameer Park and Amusement Private Limited at Goregaon West (reserve value: Rs 268.61 crore) 2. Shops and offices (reserve value: Rs 51.49 crore) 3. Residential plot at Dahisar (reserve value: Rs 34.81 crore) 4. Property in Parel (asset value: Rs 34.14 crore) 5. Oil mill, godown, and office at Mazgaon (asset value: Rs 23.20 crore) 6. Commercial air-conditioned shed in Malad (asset value: Rs 9.2 crore)

The BMC issues seizure notices under Section 203 of the Mumbai Municipal Corporation Act (1888) to large defaulters who are reluctant to pay their taxes. If the tax is not paid within the prescribed period, the relevant property will be seized and auctioned under the provisions of the Mumbai Municipal Corporation Act and the Bharatiya Nyaya Sanhita (BNS).

This action by the BMC is not only aimed at recovering the outstanding arrears but also serves as a deterrent to other potential defaulters. The civic body is committed to ensuring that all property owners fulfill their tax obligations, which are crucial for the development and maintenance of Mumbai's infrastructure and public services.

The e-auction process is expected to be transparent and efficient, with the proceeds from the sale of these properties going directly towards the BMC's coffers. This move is likely to have a positive impact on the overall financial health of the municipal corporation and will help in the timely execution of various civic projects and initiatives in Mumbai.

The BMC's proactive approach to property tax recovery is a significant step towards ensuring that the city's financial resources are utilized effectively and efficiently. It also underscores the importance of timely payment of property taxes by all residents and property owners in Mumbai, as it directly contributes to the betterment of the city and its residents.