How to pay GHMC Property Tax?

Every State collects tax on the properties owned/rented by any person within its jurisdiction. Such tax is known as ‘Property Tax’ in India. Similarly, in Hyderabad, any person owning the property must pay taxes to the Greater Hyderabad Municipal Corporation. This article, in brief, discusses the process by which a person can pay property tax to the Greater Hyderabad Municipal Corporation.

Property tax is a direct tax levied by the State Government through municipal/civic bodies in their State. In Hyderabad, such property tax is levied by the Greater Hyderabad Municipal Corporation (GHMC). Such property tax is levied for providing better civic facilities/ amenities to the residents of the concerned State and improving the said State's infrastructure. 

Who needs to pay property tax to GHMC? 

Every individual/ entity who owns a property in the State of Hyderabad is required to pay property taxes to GHMC; however, if the property falls under the below categories, then it is exempted from paying tax to GHMC or enjoys a concession on such payment of tax: 

1. Properties owned by ex-servicemen, schools, charitable institutions, religious institutions are exempted from paying property tax; 
2. Properties with a monthly rental value below Rs. 50 are exempted from paying property tax; and
3. Vacant premises verified by the Tax Inspector’s Report are eligible to obtain a 50% concession on property tax payment. 

How to calculate property tax payable to GHMC? 

Property tax required to be paid to GHMC varies according to the property for which such tax is being paid, owner of such property, size of the property, location, and built-up area. Commercial and residential properties are taxed differently by the GHMC. A person may calculate the property tax to be paid either through GHMC’s online calculator or manually using the formula stated below:

For Residential Properties: 

Property Tax = 

Plinth Area (i.e., total built-up area) * Monthly Rent per Sq. Ft. * 12 * Monthly Rental Value – 10% Depreciation + 8% Library Cess. 

For Commercial Properties: 

Property Tax = 

3.5 * Plinth Area in Sq. Ft. * Monthly Rental Value in Rs. Per Sq. Ft.

How to pay property tax to GHMC

Property Tax to GHMC can either be paid online or offline.

Online Payment of Property Tax to GHMC

The process of payment of property tax online to GHMC is as under: 

Step 1: Log in to https://onlinepayments.ghmc.gov.in/ and click on payment of property tax

Step 2: Enter Property Tax Identification Number (PTIN) and submit. 

Step 3: Upon submission of PTIN, details of property tax payable, adjustments, arrears, interest on arrears, dues will be visible. Kindly verify the details shown. 

Step 4: Upon verification of the details, select one of the payment options and proceed to the property tax payment through the selected payment gateway channel. 

Offline Payment of Property Tax to GHMC:

Any person can pay property tax offline by drawing a demand draft in favor of ‘The Commissioner, GHMC’ and dropping it to any of the following centers, namely: 

1. Citizen Service Centers; 
2. MeeSeva Centers; 
3. Any State Bank of Hyderabad Branch; and 
4. GHMC Bill Collectors. 

Property tax is required to be paid bi-annually to GHMC. All property owners must ensure that they pay such tax on time to avoid any penalties from being levied.