Bengaluru’s municipal corporation achieves 88% of property tax revenue target, issues 2.25 lakh e-Khatas

Data from BBMP showed that Bengaluru’s municipal corporation Bruhat Bengaluru Mahanagara Palike (BBMP) has issued 2.25 lakh e-Khatas to date since the e-Khata implementation in October 2024.

With a fortnight left for the financial year to end, officials have been asked to take steps to collect ₹606 crore and meet the revenue target by the end of the month.

Also Read: Bengaluru’s property registrations dip 21% amid E-khata implementation woes

“The institutions and commercial properties with more outstanding property taxes in their respective BBMP zones should be visited, and the dues must be collected. Officials should take appropriate measures to ensure the property tax collection meets the BBMP’s target by the end of the month,” Munish Moudgil, Special Commissioner (Revenue), said in a statement.

E-Khata is an electronic version of the traditional Khata certificate, introduced by the BBMP in Bengaluru and other local bodies in October. This digital record is available online, where property owners can apply for, download, and verify their Khata without visiting the municipal office.

North Bengaluru’s Yelahanka zone tops with 99.97% property tax collection.

Data from BBMP showed that Yelahanka in north Bengaluru has met 99% of its property tax collection target of ₹445 crore. The eastern part of Bengaluru, including the IT corridor of Whitefield, saw 86% of property tax collection of ₹770 crore.

Southern parts of the city, including Electronic City, witnessed a similar 86% collection of ₹664 crore. Mahadevpura, located close to the eastern part of Bengaluru, saw the highest collection of ₹1223 crore, the data showed.

Other areas that met 80% of property tax collection include Rajarajeshwari Nagar in the western suburbs of the city, Bomanahalli towards the south, and Dasarahalli in the northwest. The Bengaluru West recorded 93% collection of ₹770 crore in property tax, the data showed.

Also Read: BBMP’s rush to implement e-khata service has hit property registrations, caused ‘distress’ to buyers: CREDAI Bengaluru

Slowdown in real estate transactions?

On March 15, the BBMP stated that the revenue shortfall was due to a slowdown in real estate transactions, primarily driven by technical issues in issuing Encumbrance Certificates (ECs) and the newly introduced requirement for e-Khatas during property registrations, both of which have significantly delayed transactions.

This comes after the Bruhat Bengaluru Mahanagara Palike (BBMP) introduced the e-Khata service, which has posed a challenge for buyers in getting their property documents registered

Bengaluru’s real estate market reported 5667 property registrations in October last year, an almost 21% dip compared to 7167 units registered in September, according to data by the Inspector General of Registration (IGR) accessed by prop-tech platform Square Yards.

Compared to 2023, the number of registrations in the city dropped by 12.8% from 6506 in October 2023 to 5667 in October 2024. In August 2024, the city saw the highest property registrations at 7,753. The IT capital reported 7,333 registrations in July 2024.