Learn Bihar Property Tax essentials – seamless payments, compliance clarity, and effortless decisions for property owners.
Bihar Property Tax is a tax levied by the Municipal Corporations in the state of Bihar on real estate or property value. Property owners in the state are responsible for paying property taxes to the Municipal Corporation, governed by the Bihar Urban Development and Housing Department.
What is Bihar Property Tax?
Property Tax in Bihar is a tax levied by the Municipal Corporations in the state of Bihar on the ownership of real estate properties. It is the primary source of revenue for the Municipal Corporations, which is used for the development and maintenance of the city infrastructure, sanitation, public health, education, etc.
Who is responsible for paying Bihar Property Tax?
All owners of properties within the municipal limits of Bihar are liable to pay property tax. This includes residential properties, commercial properties, and vacant land.
How is Bihar Property Tax calculated?
The amount of property tax payable is calculated based on the Annual Rental Value (ARV) of the property. The ARV is an estimate of the annual rent that could be fetched for the property if it were rented out. The ARV is multiplied by a tax rate to arrive at the property tax amount.
The tax rate for residential properties in Bihar is generally 9% of the ARV. However, there may be variations in the tax rate depending on the location and type of property. For example, the tax rate for commercial properties may be higher than the rate for residential properties.
How can I pay Bihar Land Tax?
Property Tax in Bihar can be paid online through the official website of the Municipal Corporation or offline at the office of the Municipal Corporation.
Here’s how you can pay your Property Tax in Bihar online:
- Visit the Relevant Portal:
- Patna Municipal Corporation: If your property is located in Patna, visit the Patna Municipal Corporation website: https://pmcptax.bihar.gov.in/
- Other Municipalities: For other municipalities in Bihar, you’ll need to find their respective website or online payment portal. You can usually find this information on the Bihar Urban Development and Housing Department website: https://state.bihar.gov.in/urban/
- Search for your property:
- Enter your property details, such as Ward number, Holding number, or any other relevant information requested on the portal.
- You may need to register for an account if it’s your first time using the portal.
- View your bill and confirm details:
- Once you find your property, the portal will display your property tax bill, including the amount due and any applicable late fees.
- Review the details carefully to ensure everything is accurate.
- Choose your payment method:
- Most portals will offer various online payment options through secure gateways. Popular choices include credit/debit cards, net banking, and UPI apps like Paytm or GPay.
- Choose your preferred method and follow the on-screen instructions to complete the payment.
- Receive confirmation:
- Once the payment is successful, you will receive a confirmation message and/or receipt. Save or download this document for your records.
Offline Tax Payment Process for Bihar Property:
If you prefer to pay offline, you can do so at the following locations:
- Municipal Corporation Office: Visit the nearest office of the Municipal Corporation in your city. You’ll find designated counters for property tax payments.
- Authorised Banks: Some banks may be authorised to collect Bihar Property payments. Check with your local bank for details.
- Revenue Offices: In some cases, you may also be able to pay your property tax at the local Revenue Office.
Documents required for offline payment:
- Original Property Tax Bill
- Valid Photo ID proof
- PAN Card (optional)
What Are the Exemptions for Property Tax in Bihar?
Exemptions for Property Tax in Bihar:
The Bihar Municipal Act, 2007, exempts the following properties from property tax:
- Properties owned by the Devasthan Department of the State Government.
- Properties used for public worship or public purposes.
- Land used for the disposal of dead bodies.
- Non-commercial State and Central government offices and establishments, but they are liable to pay a “Service Charge” which is 75% of the normal property tax.
- Properties used purely for religious purposes are fully exempt.
Tax Rates for Bihar Property
The standard tax rate for residential properties in Bihar is 9% of the Annual Rental Value (ARV). However, the tax rate varies depending on the property type and location.
Here are some examples of property tax rates in Bihar:
- Residential properties: 9% of the ARV
- Commercial properties (shops, offices, etc.): 15% of the ARV
- Industrial properties: 3% of the ARV
- Vacant land: 2% of the ARV
How to Calculate Land Tax Rate in Bihar?
The property tax calculation in Bihar is based on the following formula:
| Property Tax = Annual Rental Value (ARV) x Tax Rate |
The ARV is an estimate of the annual rent that the property could fetch if it were rented out. It is determined by the Municipal Corporation based on factors such as:
- Size of the property
- Location of the property
- Type of construction
- Age of the property
- Available amenities
Once the ARV is determined, it is multiplied by the applicable tax rate to arrive at the property tax amount.
Bihar Property Tax Enquiry
Patna Municipal Corporation:
- Contact Numbers:
- Toll-free Helpline: 155 304
- Combat Cell for Grievance Redressal: 0612-2200634
- WhatsApp/Telegram: 9472223909
- Head Office Address: Second Floor, Block-C, Maurya Lok Complex, Budh Marg, Patna, Bihar – 800001
Other Major Cities:
- Gaya Municipal Corporation: 0631-2200467
- Bhagalpur Municipal Corporation: 0641-2400954
- Muzaffarpur Municipal Corporation: 0621-2240054
- Purnia Municipal Corporation: 06454-232220
- Patna Municipal Corporation: https://pmcptax.bihar.gov.in/
- Department of Revenue and Land Reforms, Bihar: https://land.bihar.gov.in/
- Revenu And Land Reforms Department: https://www.bhulagan.bihar.gov.in/
FAQ’s
Are there any exemptions or rebates available for certain categories of property owners in Bihar?
Yes, there are various exemptions and rebates available in Bihar for certain categories of property owners, including:
* Senior citizens: 50% rebate on property tax for individuals above 65 years old.
* Freedom Fighters: 100% exemption for properties owned by Freedom Fighters.
* Religious and Charitable Institutions: Full or partial exemption for properties used for religious or charitable purposes.
Armed Forces Personnel: 50% rebate for properties owned by serving or retired Armed Forces personnel.
How can property owners in Bihar calculate their property tax liability?
There are two main methods for calculating property tax liability in Bihar:
* Online Calculator: Most municipal corporations in Bihar have online property tax calculators on their websites. Simply enter the property details like location, area, and type, and the calculator will estimate your tax liability.
* Manual Calculation: You can also calculate your tax liability manually using the formula provided by your local municipality. This typically involves multiplying the built-up area or assessed value of your property by the applicable tax rate and any relevant factors like occupancy or location.
What documents are required for property tax assessment and payment in Bihar?
The required documents may vary depending on your municipality, but generally, you will need:
* Property deed or registration document
* Khata number or plot number
* Building completion certificate (if applicable)
* Proof of identity and address
Is there an online portal for property tax payments in Bihar, and how can property owners use it?
Yes, most municipal corporations in Bihar have online portals for property tax payments. You can search for the specific portal of your municipality and register with your property details. Once registered, you can view your tax bills, make online payments through various payment gateways, and download receipts.
What is the procedure for updating property records for tax purposes in Bihar?
To update your property records for tax purposes, you need to contact your local Revenue Office or municipal corporation. They will guide you through the process, which may involve submitting documentation like mutation deeds or building modifications.
Are there any penalties for non-compliance with property tax regulations in Bihar?
Yes, there are penalties for late payment or non-payment of property tax in Bihar. These penalties typically involve an interest accrual on the outstanding amount, and in some cases, legal action may be taken.
How is the revenue generated from property tax used for the development and maintenance of civic amenities in Bihar?
The revenue generated from property tax in Bihar is used for various purposes related to civic development and maintenance, such as:
* Infrastructure development: Building roads, bridges, drainage systems, and public parks.
* Sanitation and waste management: Maintaining cleanliness and hygiene in cities and towns.
* Street lighting and public safety: Providing adequate lighting and security measures in public spaces.
* Education and healthcare: Supporting public schools and hospitals.
Conclusion
In conclusion, homeowners in Bihar must understand and fulfill their property tax obligations. Conveniently, Bihar Land tax offers options for payment through both online and offline methods, providing flexibility to taxpayers. To pay online, individuals need to visit the official website, enter property details, calculate the tax, and utilize various digital payment options. Alternatively, for offline payments, property owners can visit the local municipal office, collect a challan form, fill in the details, and submit the payment at the designated counter.
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