Property tax in Guwahati: Eligibility, calculation, payment, rebate

Municipal corporations heavily rely on property tax as a primary revenue stream. To avoid accruing any outstanding dues, residents are required to fulfil their tax obligations on an annual basis. This article offers insights into the landscape of property tax in Guwahati, shedding light on the determinants influencing tax amounts and delving into the procedures for both online and offline payments. Additionally, it provides pertinent contact details for the Guwahati Municipal Corporation (GMC). For property owners in Guwahati seeking a convenient method to pay their property taxes, the Guwahati Municipal Corporation (GMC) provides an easily navigable online portal. This platform enables residents to settle their tax obligations effortlessly.

Table of Contents

What factors decide the property tax in Guwahati?

The calculation of property tax in Guwahati is based upon several factors, including the property’s location, dimensions, classification (residential or commercial) and the age of the structure. The Guwahati Municipal Corporation (GMC) is handed the task of evaluating and collecting property taxes within the city. To ensure precise payment, property owners need to be acquainted with these influential elements. Property tax rates in Guwahati are not standardised, fluctuating between 5 per cent and 20 per cent.

Factors influencing property tax in Guwahati include:

Built-up area: The total space occupied by the building.

Age factor: This takes into account the year of construction, with older properties potentially having distinct rates compared to newer ones.

Base value: The intrinsic value of the land upon which the property is erected.

Type of building: Whether the property is residential or commercial impacts the property tax rate.

Category of use: This factor considers whether the property is owner-occupied or rented.

Floor factor: The construction type, distinguishing between single or multi-storied buildings, contributes to the overall tax amount.

Eligibility criteria and guidelines for property tax payment in Guwahati

All property owners in the Guwahati Municipal Area are required to pay property tax to the GMC. To pay property tax online, residents must first register themselves on the GMC property tax portal. Once registered, residents will be provided with an ID/password to access their tax details and download the receipt. Alternatively, residents can use their holding number to directly enter the portal. The GMC also provides a property tax calculator to help residents determine their tax amount.

Guwahati’s corporation area is divided into six zones, each headed by a Deputy Commissioner responsible for trade license, property tax and assessment. The GMC bears the transaction charges for using the online payment facility.

Property tax calculation methods in Guwahati

The Guwahati Municipality employs three methods to calculate property tax in Guwahati. These methods take into account various factors that influence the tax amount. The three calculation methods are as follows:

Unit area value system

The Unit Area Value (UAV) system determines property tax based on the property’s value per unit area. To calculate the tax, the value per unit area is multiplied by the total built-up area of the property. Factors such as property location, age, base value, usage category and number of floors influence the unit area value.

Capital value system

The Capital Value System (CVS) estimates the market value of the property to determine the tax amount. The tax is usually a percentage of the property’s market value. Factors such as property location, age, amenities, and construction status influence the capital value of the property.

Annual rented value system

The Annual Rented Value (ARV) system calculates property tax based on the rental value of the property. Factors such as location, age, amenities, and construction status affect the rental value. The tax amount is derived from a percentage of the property’s annual rental value.

Property tax calculation in Guwahati considers a combination of these methods and factors to ensure a fair assessment of tax obligations. It is important for property owners to understand these calculation methods to accurately determine their property tax.

Calculation method	Influence factors
Unit area value system	Property location, age, base value, usage category, number of floors
Capital value system	Property location, age, amenities, construction status
Annual rented value system	Property location, age, amenities, construction status

What are the steps to pay the property tax online?

Follow these steps to pay the property tax online in Guwahati:

Step 1: Visit the official website of Guwahati Municipal Corporation (GMC).

Step 2: Select the ‘Click here to pay your Property Tax’ tab. Then a new webpage will open.

Step 3: Enter your ‘holding number’ and then proceed.

Step 4: Review the bill details. Select the checkbox beside the bill (arrear or quarter) which you want to pay.

Step 5: Confirm and choose your preferred payment method. Download the receipt.

What is the offline method of payment?

Guwahati property owners have the option to make their property tax payments online via the official GMC website. Alternatively, for individuals facing challenges with online access or services, visiting the nearest CSC/Seva Kendra presents a practical offline payment alternative.

Rebate for early property taxpayers in Guwahati: Latest announcement

Guwahati Municipal Corporation (GMC) is all set to offer a 10% rebate on property tax for early taxpayers from the next financial year. The announcement was made by Mrigen Sarania, the mayor of GMC, with the rebate being applicable to property owners who make their tax payments in the first two months of the next fiscal year, between April 1 and May 31.

The move is aimed at encouraging more residents to pay their taxes and contribute to the development of the city. GMC has been taking several measures to address tax defaulting, including issuing warrants against defaulters and initiating legal actions.

This initiative is expected to boost the revenue collection of the GMC and help fund various developmental projects in the city. The rebate offer is a great opportunity for early taxpayers to save money on their property taxes and contribute to the betterment of the city.

FAQs

What is the land tax rate in Assam?

Currently, the stamp duty on land purchase is 6% for male buyers and 5% for women buyers.

Who pays land tax in India?

In India, owners of real estate properties are subject to paying a property tax. It is an annual charge levied by the Government of India on property owners.

Which city has the highest number of taxpayers in India?

Mumbai has the highest number of taxpayers in India.

Do farmers pay land tax in India?

Agricultural land in a rural area is not considered a capital asset and therefore gain on sale is not subject to income tax.

Is farming tax-free?

As per section 10(1), agricultural income earned by the taxpayer in India is exempt from tax. Agricultural income is defined under section 2(1A) of the Income-tax Act.

What is the formula for property tax in India?

Property tax = base value × built-up area × Age factor × type of building × category of use × floor factor.

What are the types of land in Assam?

The major classes of land use as identified by the Assam Remote Sensing Application Centre are built-up land, agricultural land, forest land, wasteland, water bodies, and others.

Got any questions or point of view on our article? We would love to hear from you. Write to our Editor-in-Chief Jhumur Ghosh at [email protected]

Was this article useful?