The payment of property taxes is a necessary step homeowners need to take each year. This tax is levied on the individual or corporation owner of the property depending upon where the property is located and is applicable on both residential and commercial properties.
Property owners in Vadodara, Gujarat are liable to pay this tax to the Vadodara Municipal Corporation or the VMC. Here we discuss the complete details regarding the VMC property tax and how to pay it online.
See also: Liability to pay property tax arises after occupancy certificate is issued: HC
VMC property tax calculation
The calculation of property tax collected by VMC is dependent on four major factors which are further divided into relevant categories for the calculation of the tax. The basic formula for calculating this tax involves multiplying the annual rate, taxable area, location factor, age factor, usage factor and occupancy factor. Read on to know more about each of these.
Annual rate
The average annual rate per sqm is generally Rs 16 for residential properties and Rs 30 for commercial properties.
Location factor
The location factor is decided according to which area the property falls under. It has been divided into three categories with fixed factors for residential and commercial properties.
| Category | Factor for residential properties | Factor for commercial properties |
| A | 1.25 | 1.50 |
| B | 1.00 | 1.25 |
| C | 0.57 | 1.00 |
Age factor
As the name suggests, age factor depends upon how old the property is. The tax rates are higher for newer properties as compared to the older ones.
| Age of property | Factor |
| Less than 20 years | 1.00 |
| 20 – 40 years | 0.75 |
| More than 40 years | 0.50 |
Usage factor
VMC property tax also depends on the type of property and how it is being used. It is divided into the following categories based on this.
| Type | Factor |
| Independent bungalow | 1.25 |
| Tenement, row house | 1.00 |
| Flat, residential houses (urban) | 0.75 |
| Vacant plot | 0.50 |
| Ex-servicemen | 0.25 |
Occupancy factor
Lastly, VMC property tax also depends on whether the property is occupied by the owners or tenants.
| Occupants | Factor |
| Owner | 1.00 |
| Tenants | 1.25 |
See also: Property tax to be levied for paid parking in Ahmedabad
How to pay VMC property tax online?
It is now possible to pay the VMC property tax online from the comfort of your home. Here’s how you can do it.
Visit the website and open the relevant page
Open the official website of Vadodara Municipal Corporation and go to the ‘Online Services’ menu. Select the ‘Online Payment Services’ option and click on the icon saying ‘Pay Property Tax Online.’
Enter census number and pay
VMC makes use of your census information to calculate your property tax to spare you the hassle of manually calculating it. Just enter your census number and click on the ‘Search’ button. The amount to be paid will be displayed on screen and you can make the payment through net banking, credit/debit card or UPI.
FAQs
What is property tax?
Property tax is a tax levied on home and plot owners annually depending upon where their property is located.
How does VMC calculate property tax?
VMC property tax is calculated by multiplying the annual rate, location factor, age factor, usage factor and occupancy factor.
Can I pay VMC property tax online?
Yes, the VMC property tax can be paid online through the Vadodara Municipal Corporation official website.
What is the process to pay VMC property tax offline?
The VMC property tax can be paid offline by visiting the ward office nearest to your property’s location.
What is the occupancy factor while calculating VMC property tax?
Occupancy factor depends on whether the property is occupied by the owners themselves or it has been leased out to tenants.
What is the usage factor while calculating VMC property tax?
Usage factors depend upon the type of property and its purpose. It is categorised into independent bungalow, tenement, flat or residential house, vacant plot and properties belonging to ex-servicemen.
Is there a fine on non-payment of VMC property tax?
Non-payment of VMC property tax on time might result in a late fee of up to 18% of the initial amount alongside notice charges.
| 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 jhumur.ghosh1@housing.com |
