Property in Kolkata to be Brought Under New Taxation Regime

Those who own property in Kolkata will have to pay tax to authorities based upon a new Unit Area Assessment (UAA) method. The Kolkata Municipal Corporation is ready to use the UAA method to determine the property tax Kolkata's property owners will henceforth have to pay. On March 30 of this year a proposal was passed in the KMC house that enabled the top ranking civil brass to roll out the new method from the first of this month (April 1). This method of tax determination has already been implement in cities such as New Delhi, Ahmedabad, and Bangalore.  

About the UAA Method 

Those who own real estate in Kolkata can now assess their property online and themselves determine how much property tax they need to pay by following instruction on the KMC website. Additionally they can also visit the assessment collection department of the KMC or e governance departments of the civic bodies to ascertain how much tax they are required to pay on their property.  

Property owners in Kolkata will still be allowed to pay their outstanding bill using the current method of valuation which is rental based while simultaneously enrolling for the UAA system. Once the switchover is complete the bills will be adjusted for any plusses or minuses of monies as the case may be.  

Why are prices of Property in Kolkata rising?

Is it a good time to invest in real estate projects in Kolkata?

  

The Mayor of Kolkata Mr. Sovan Chatterjee had announced in March that while the UAA will be operational from the first of this month, the assessment department of the KMC would send the tax bill to the assesses under the current valuation system.  

Calculations Using UAA Method 

The Mayor of Kolkata has declared that those who deliberately pay less by manipulating the UAA method would be penalized. He was asked last month if those who own property would actually have to pay more under the UAA method and his reply was that under no circumstances would owners of property have to pay more than twenty percent of what they had been paying under the old taxation regime. According to the mayor the UAA is a scientific system and those who own best residential property in Kolkata will not pay either twenty percent more or less than they currently pay under the newer UAA regime.