Mumbai Property Tax Hike Triggers Backlash; BJP’s Ravi Raja Slams BMC Over ₹14,000 Cr in Dues

The Brihanmumbai Municipal Corporation’s (BMC) decision to impose a 15.89% property tax hike for 2025–26 has sparked a wave of public anger and political opposition. BJP leader Ravi Raja has strongly condemned the move, demanding that the civic body focus instead on recovering ₹14,000 crore in pending dues from 481 major defaulters.

In a scathing letter to Municipal Commissioner Bhushan Gagrani, Raja questioned the rationale behind burdening regular taxpayers while government agencies and private firms with massive outstanding dues continue to face no serious action. “It’s grossly unfair to penalize compliant citizens while big defaulters are allowed to escape scrutiny,” he said.

The BMC denied altering tax rates, claiming the increase was a result of statutory recalculations based on updated Ready Reckoner (RR) rates. A civic official stated, “No rates were changed. The billing was done in compliance with existing legal provisions.”

Despite the clarification, critics say the real issue lies in selective enforcement and a lack of accountability. Raja argued that the BMC could have limited the hike to under 15% if it had acted firmly against top defaulters.

Activist Godfrey Pimenta of the Watchdog Foundation noted that property tax bills for Gaothan properties have spiked by over 40%. “My half-yearly bill jumped from ₹14,204 to ₹19,885. This is unacceptable,” he said.

Residential properties below 500 sq ft carpet area continue to remain exempt from property tax, as per a 2017 state policy. The last tax revision occurred in 2015–16.

As the controversy grows, citizens and civic groups are demanding a transparent recovery process, fair taxation, and equitable treatment for all. The BMC now faces mounting pressure to act on the defaulters list and justify the need for a steep tax hike amid economic uncertainties.