A Complete Guide on Paying Municipal Property Tax in Ahmedabad

Ahmedabad has the most advanced online tax-paying system in India. This is evident as the city shows an increase of Rs.153.68 crore in property tax revenue in 2021. Approximately, it witnessed a 50% increment compared to 2020. AMC has announced to extend a 10% rebate applicable for advance property tax payment in Ahmedabad to encourage taxpayers.

Thus, to make the most of such rebates, take a look at this comprehensive guide on paying property tax in Ahmedabad. This guide will streamline the process for property taxpayers to pay taxes without any hassle and before the due date.

Steps to pay Ahmedabad property tax online

Follow the steps given below to pay property tax in Ahmedabad through the official mobile application or website:

1. Visit the official website of AMC. Click on the “Quick Pay” link and select “Pay Property tax.”
2. Enter your tenement number and select “Search.”
3. The page redirects to show your name and tax payable for property tax in Ahmedabad.
4. Assess all information carefully and select “Pay” to proceed.
5. You will be redirected to the “Payment gateway” page. Confirm your tenement and payment details. Enter the relevant email ID and contact number.
6. Complete the payment through a debit or credit card. After completing the payment procedure, you will receive a Transaction Reference Number.
7. The amount will be credited to the official account of AMC within 2 working days.
8. Individuals will receive the official tax receipt via an email from AMC. Download the Ahmedabad municipal tax bill for future reference. It is one of the important documents needed to apply for a loan against property.

But individuals are advised to contact the lenders for any additional documents and associated charges on loan against property. For offline payment of Ahmedabad municipal tax, individuals can visit nearby civic centers of Ahmedabad. Moreover, one can check the status of tax payments on the official website of AMC. To check the status, enter the property details on the portal.

How can you calculate property tax in Ahmedabad?

Ahmedabad Municipal Corporation evaluates tax based on a property’s capital value. In this case, a municipal body considers the following:

• Location and type of a property
• Occupancy
• Usage of a property
• Floor area
• Tax rate
• Age

Here is the formula to manually calculate the property tax in Ahmedabad:

Property tax payable = Area*Rate(f1 x f2 x f3 x f4 x fn)

Here, f1 represents the weightage of the property’s location

f2 is equal to the property type

f3 is equivalent to the property’s age

f4 is the weightage allocated to a residential property

fn is assigned to a user of the property

Individuals can check all the information on weightage available on the official website of AMC.

Points to remember during house tax payment in Ahmedabad

• AMC extends a rebate of 10% for borrowers paying their taxes before the due date, i.e., 15^th Earlier, in 2020, the Government announced a 30% rebate on commercial property.
• If a taxpayer defaults payment, he/she is liable to pay a 2% fine monthly.

To avail of the rebate, one can invest in a property in Ahmedabad. To meet such high ticket expenses, an individual can borrow a loan against property. Many financial institutions extend this secured credit at a competitive interest rate.

Additionally, they also provide pre-approved offers to make the borrowing process hassle-free. You can conveniently check your pre-approved offer by submitting your name and contact details.

Properties exempted from property tax

• Charitable properties and buildings
• Cremation property
• Agricultural grounds
• Government property
• Religious land
• Heritage sites, etc.

According to the AMC Standing Committee, all residential areas with 40 square meters or less will get a 100% rebate.  Nearly 6 lakh homebuyers are eligible for exemption on property tax if they pay their taxes between 1^st June and 31^st August 2021. Thus, individuals must take advantage of the same and pay their dues to enjoy such rebates.

Additional Read: 7 Benefits Of Investing In Commercial Real Estate