Property Tax Indore

What is Property Tax in Indore?

Property tax is an annual tax that all property owners in Indore are required to pay to the Indore Municipal Corporation. The property tax in Indore is levied on all resident and non-resident real estate owners who own properties in the city. The IMC utilises the revenue generated through property tax for the following purposes:

• Repairing and maintaining the city roads
• Ensuring the availability of ample street lights
• Checking and maintaining the city's drainage systems

Who Should Pay Property Tax in Indore?

Real estate owners who own properties that fall within the jurisdiction of the Indore Municipal Corporation are liable to pay property tax in Indore. The IMC imposes tax on the following types of properties:

• Vacant lands
• Residential properties (self-occupied or leased)
• Commercial properties (shops, office spaces, etc.)
• Industrial properties (factories, warehouses, etc.)

How is Property Tax Calculated in Indore?

You can use either the calculator or the property tax formula to determine the tax amount you have to pay the municipal corporation.

Here are some important factors you must consider while calculating the property tax:

• Plinth Area (PA): This is the total built-up area, including balconies and garage spaces.
• Monthly Rental Value (MRV): MRV is calculated by multiplying the property's current rent rate per square foot by its market value.

Residential property owners can use the following formula to determine their property tax in Indore manually:

[PA * MRV * 12 (0.17 - 0.30)] -[10% depreciation + 8% library cess]

If you want to calculate the tax amount for commercial or industrial properties, use the calculator available on the Samarth Panchayat Portal.

How to Pay Property Tax Online in Indore?

Taxpayers can pay their property tax in Indore online by following these steps:

• Open the Madhya Pradesh government's official e-Nagarpalika portal.
• On the homepage, click 'Property Tax'. You will be directed to a login page.
• Choose 'Samgra ID/Mobile Number' to log in. Enter the OTP.
• You will be directed to a payment gateway page.
• Complete your property tax payment online.
• You will receive your property tax receipt at your email and a notification at your registered mobile number.

What to Do Next?

Once you have paid your property tax, you are advised to download the e-receipt from the e-Nagar Palika portal. Having a digital copy or a print of your property tax e-receipt is vital in the following scenarios:

• For conducting property transactions, such as the sale or transfer of ownership
• To take a property/home loan or mortgage
• For processing home insurance claims

When is the Due Date to Pay Indore Property Tax?

The due date to pay property tax in Indore is June 30th. However, the payment date is subject to change and can be extended to July 31st if there's an issue with the portal. Indore Municipal Corporation also offers a rebate of 6.25% to all advance property taxpayers within its jurisdiction.

Penalties for Late Payment

The Indore Municipal Corporation can charge hefty penalties for late property tax payment. According to the amendment in Section 136 of the State Municipal Corporation Act, 1956, residential property holders will be charged 1.5 to 2 times their property tax if they delay for one year or more.

Why is Paying Property Tax Important for Your Home Insurance?

Paying property tax on time is not just a civic responsibility but a critical financial step that affects significant aspects of your life, from legal ownership to obtaining insurance and loans. It serves as proof of your legal standing and financial duty.

Here are some important reasons why paying property tax on time is crucial:

*Pro Tip: Always settle all outstanding property tax dues before filing a home insurance claim. Property tax dues may adversely affect your claim processing and approval.

Helpdesk and Contact Information

The Indore Municipal Corporation runs a toll-free helpline service to address any property tax payment-related queries that taxpayers might have. So, if you have any issues regarding your property tax payment in Indore, connect with the authority via the following:

• Helpline number: 104, 1075, 0755-2704201, 2441419, 4926892
• Office address: Narayan Singh Saput Marg, Shivaji Market, Nagar Nigan Square, Indore, Madhya Pradesh 452007

FAQs - Property Tax in Indore