Property Tax in Karnataka: BBMP, Calculation, Payment, Khata & Complete Guide (2026)

Property tax in Karnataka is a direct annual obligation for all property owners across the state, whether you live in Bengaluru, Mysuru, Mangaluru, or a smaller town. The amount you pay depends on your property’s built-up area, zone, usage type, and age — and the specific formula varies between the major municipal bodies. Understanding how property tax in Karnataka works helps you plan your finances, stay legally compliant, and avoid penalties. This guide covers the calculation method, online and offline payment steps, Khata requirements, due dates, exemptions, and how property tax connects to buying a home in Karnataka.

What is Property Tax in Karnataka?

Property tax in Karnataka is levied by urban local bodies (ULBs) under the Karnataka Municipal Corporations Act, 1976, and the Karnataka Municipalities Act, 1964. It is collected by municipal corporations, town municipal councils, and city municipal councils across the state.

The tax applies to:

• Residential houses, flats, and apartments
• Commercial buildings, offices, and shops
• Industrial units and warehouses
• Vacant sites within municipal limits (in some jurisdictions)

Why Property Tax Matters in Karnataka

For homeowners in Karnataka, property tax is more than a civic duty. It directly determines:

• Your ability to sell the property (clearance certificate required)
• Home loan eligibility (lenders verify tax compliance)
• Mutation and ownership transfer
• Khata updation, which is needed for any construction or modification approval

Unpaid property tax in Karnataka can block your Khata Certificate, which is a prerequisite for multiple transactions and government approvals.

Who Has to Pay Property Tax in Karnataka?

The registered owner of the property is legally responsible. If the property is rented, the owner — not the tenant — pays the tax.

Additional points:

• Joint owners share the tax liability.
• New buyers must complete mutation and Khata transfer after purchase.
• Builders are liable for property tax on unsold inventory.

Municipal Corporations Responsible for Property Tax in Karnataka

Municipal Body	Area
BBMP (Bruhat Bengaluru Mahanagara Palike)	Greater Bengaluru
Mysuru City Corporation (MCC)	Mysuru
Mangaluru City Corporation (MnCC)	Mangaluru
Hubballi-Dharwad Municipal Corporation (HDMC)	Hubballi-Dharwad
Belagavi City Corporation	Belagavi
Shivamogga City Municipal Council	Shivamogga
Tumakuru City Municipal Council	Tumakuru
Davanagere City Corporation	Davanagere

BBMP handles Greater Bengaluru, which is the largest and most complex jurisdiction in the state.

How Property Tax is Calculated in Karnataka

BBMP — Unit Area Value (UAV) System

BBMP uses the Unit Area Value system. Property tax is calculated based on the property’s built-up area and a per-square-foot rate assigned to the zone.

Formula:
Property Tax = (Gross Annual Value − Depreciation) × Tax Rate

Gross Annual Value = Built-up Area × Unit Area Value × 10 months

(10 months is used instead of 12 to account for vacancy)

Unit Area Values by Zone (BBMP — approximate current rates):

Zone	Residential (per sq ft/month)	Commercial (per sq ft/month)
A (prime)	₹5	₹10
B	₹4	₹8
C	₹3.60	₹7.20
D	₹3.20	₹6.40
E	₹2.40	₹4.80
F	₹2	₹4
G (periphery)	₹1.60	₹3.20
H (newly added areas)	₹1.20	₹2.40

Depreciation is applied based on the age of the building, reducing the gross annual value before the tax rate is applied.

Tax rate for residential properties is 20% of the Annual Value for self-occupied, and higher for rented properties.

Other Cities in Karnataka

Mysuru, Mangaluru, Hubballi-Dharwad, and other municipal bodies use the Annual Rental Value (ARV) method. The formula is:

Property Tax = Annual Rental Value × Rate of Tax

Factors Affecting Property Tax in Karnataka

• Zone (A to H for BBMP; ward classifications for other cities)
• Built-up area of the property
• Age of the building (depreciation benefit for older structures)
• Type of construction (RCC, tiled, mud)
• Usage (residential, commercial, industrial)
• Occupancy (self-occupied vs rented)

Property Tax Rates in Karnataka

Municipal Body	Method	Residential Rate
BBMP	Unit Area Value	~20% of Annual Value
MCC Mysuru	ARV	Varies by ward
MnCC Mangaluru	ARV	Varies by ward
HDMC	ARV	Varies by ward

Always check current rates on the official portal of your municipal body.

How to Pay Property Tax Online in Karnataka

BBMP Online Payment

1. Visit the official BBMP Property Tax portal: https://bbmptax.karnataka.gov.in
2. Enter your SAS Application Number or Property ID.
3. Verify your property details.
4. Check outstanding dues.
5. Proceed to pay via net banking, debit card, credit card, or UPI.
6. Download and save the challan immediately.

BBMP also allows property tax payment through the Bengaluru One app and selected bank branches.

Mysuru City Corporation

Visit the MCC official portal, enter your Property ID, verify details, and pay online.

How to Pay Property Tax Offline in Karnataka

1. Visit the nearest BBMP Citizen Service Centre or ward office.
2. Carry your previous property tax receipt or SAS Application Number.
3. Collect a tax challan.
4. Pay in cash, cheque, or demand draft.
5. Collect stamped receipt.

BBMP also has authorised bank collection centres including Canara Bank, ICICI Bank, and HDFC Bank branches.

Required Documents

• SAS Application Number or Property Assessment Number
• Previous year’s property tax receipt
• Sale deed or possession letter (for first-time payers after purchase)
• Khata Certificate (for verification during mutation and new registrations)

Property Tax Due Dates in Karnataka

Municipal Body	Due Date
BBMP (Bengaluru)	April 30 annually (early payment rebate available)
MCC (Mysuru)	Half-yearly — typically September 30 and March 31
MnCC (Mangaluru)	Half-yearly
Other ULBs	Varies — check local portal

BBMP early payment rebate: BBMP offers a 5% rebate on the total tax payable if you pay before April 30. This is a significant saving for property owners in Bengaluru.

Rebates and Exemptions in Karnataka

• Senior citizens (60+ years): BBMP offers a 30% rebate on property tax for senior citizens on self-occupied residential properties.
• Ex-servicemen: Concessions available under Karnataka government rules.
• Women sole owners: Some ULBs offer concessional rates.
• Properties below 600 sq ft (residential, self-occupied, below income threshold): BBMP offers exemption for properties meeting all specified conditions.
• Charitable institutions: Exempt subject to conditions.
• Government properties: Exempt when used for public purposes.

How to claim: Apply at your ward office or through the BBMP portal with relevant documentation.

Penalties for Late Payment in Karnataka

• Interest: BBMP charges 2% interest per month on overdue amounts after April 30.
• Penalty notice: Issued by the ward office for unpaid dues.
• Property attachment: In cases of persistent non-payment, BBMP and other municipal bodies can attach and auction the property.
• Khata blocked: Unpaid property tax blocks Khata Certificate issuance or renewal, which stops all further property-related approvals.

How to Download Property Tax Receipt in Karnataka

BBMP:

1. Visit bbmptax.karnataka.gov.in.
2. Click on “Challan Print.”
3. Enter your SAS Application Number or transaction reference.
4. Download and print your receipt.

How to Check Property Tax Status in Karnataka

• Visit the BBMP portal.
• Enter your SAS Application Number.
• View payment history and outstanding dues.

For other cities, visit the respective municipal portal and search by property ID or owner name.

Khata — The Critical Document Connecting Property Tax and Ownership in Karnataka

The Khata Certificate and Khata Extract are among the most important documents for property owners in Karnataka, particularly in Bengaluru.

Khata Certificate confirms that the property is registered in BBMP’s assessment register and that property tax is being paid regularly. It is required for:

• Obtaining a building plan approval
• Applying for a water or electricity connection
• Applying for a home loan
• Selling the property

Khata Extract provides detailed information about the property — its area, nature of construction, and tax assessment details.

Understanding the difference between A Khata vs B Khata is critical before buying any property in Bengaluru or other BBMP-governed areas. A Khata properties are fully regularised and can be used for all transactions. B Khata properties have legal complications that affect loan eligibility and resale.

Property Tax and Home Buying in Karnataka

Before purchase:

• Demand the seller’s property tax receipts for at least three to five years.
• Check whether the property holds A Khata or B Khata status.
• Verify that there are no outstanding dues. Pending dues transfer to the new buyer.
• Request a No Dues Certificate from BBMP or the relevant municipal body.

During the loan process:

• Lenders in Karnataka specifically check Khata status and property tax compliance during legal verification.
• An Encumbrance Certificate Karnataka confirms there are no financial or legal liabilities on the property. This is essential for home loan processing.
• Stamp Duty Karnataka charges are paid during registration and must be factored into your total budget.

After purchase:

• Apply for Khata transfer within 90 days of registration.
• Complete mutation at BBMP or the relevant municipal body.
• Begin paying property tax in your own name from the next due date.

A clean Khata and up-to-date property tax records significantly speed up home loan approval in Karnataka.

Common Mistakes to Avoid in Karnataka

1. Buying B Khata property without understanding the implications. It restricts loans and future resale.
2. Not checking property tax dues before purchase. Dues pass on to the new owner.
3. Delaying Khata transfer. This blocks building approvals, utility connections, and loan processing.
4. Missing BBMP’s April 30 deadline. You forfeit the 5% early payment rebate and start accumulating interest.
5. Paying on unofficial websites. Always use bbmptax.karnataka.gov.in.
6. Not applying for senior citizen exemption. This 30% saving requires a one-time application.

Frequently Asked Questions — Property Tax in Karnataka

What is property tax in Karnataka?
It is an annual tax levied by urban local bodies on property owners in Karnataka. It funds civic services like roads, water supply, and waste management.

Who has to pay property tax in Karnataka?
The registered owner pays property tax. Tenants are not liable.

How is property tax calculated in Karnataka?
BBMP uses the Unit Area Value system. Other cities use the Annual Rental Value method. Rates vary by zone, usage, and building age.

How can I pay property tax online in Karnataka?
Visit bbmptax.karnataka.gov.in and pay using your SAS Application Number via net banking, UPI, or debit/credit card.

Which authority collects property tax in Karnataka?
BBMP for Bengaluru. MCC for Mysuru. MnCC for Mangaluru. Other city and town municipal councils for smaller areas.

What happens if property tax is unpaid in Karnataka?
BBMP charges 2% interest per month. The Khata Certificate gets blocked, and the municipal body can attach the property in extreme cases.

How can I download my property tax receipt in Karnataka?
Visit bbmptax.karnataka.gov.in, go to the Challan Print section, and download using your SAS Application Number.