BENGALURU: Some allottees are finding that a few extra square meters can almost double their property tax based on the BDA’s current policy. Owners of irregularly-sized plots argue that the existing slab-based rates unfairly penalize them, despite their properties using the same facilities as standard plots. They maintain that only the excess area should be taxed at a higher rate, yet the current system applies the increased rate across their entire site.
For the past five years, concerns have been raised by allottees regarding a 2016 BDA resolution on vacant-property taxation, which they deem flawed. Owners of oddly-shaped sites—primarily corner plots—say they face considerable taxation discrepancies. For instance, a site of 109-110 sqm that utilizes the same facilities as a standard 108 sqm plot on the same street faces unfair charges. Instead of taxing only the excess area, BDA applies the higher rate to the entire site.
Santosh Patil, a 40-year-old allottee from Nadaprabhu Kempegowda Layout, Block 5, expressed his frustration: “Why should we pay double for sites with irregular dimensions? While BDA noted the irregularity during the auction, there was no explanation about the taxation. I purchased my site in 2021 and soon realized I was paying nearly double compared to my neighbor for just 4 sqm more. The tax should only apply to the excess area, not the whole site. I approached BDA in 2023 to correct this, but my issue remains unsolved. This is unfair.” Another allottee added, “Even though I only have 20 sqm extra, I’m still being taxed double, which is unjust. It’s our hard-earned money.”
“They never informed me about the increased tax when I bought the land in 2019, despite it being a corner site with odd dimensions,” said a 43-year-old allottee.
This issue persists across several layouts, including Nadaprabhu Kempegowda Layout, Banashankari 6th Stage, and some areas in Sir M Visvesvaraya Layout.
On December 6, 2025, allottees met with the BDA finance department to discuss the taxation issue, having previously sent a letter to BDA in 2023 requesting a review, which reportedly went unaddressed. Associations claim that at least 3,000 land parcels face similar issues.
Sairam, an executive member of NPKL Open-Forum, stated, “When we discussed this issue with the BDA accounts office, we were told that this slab system was created due to the IT cell. BDA should review this and adjust the system to be fair, similar to the income-tax slab system, but thus far, nothing has changed.”
According to a circular issued on September 28, 2016, BDA revised property tax rates for vacant plots for the year 2016-17 following widespread complaints from allottees. Smaller plots (6×9 sqm to 9×12 sqm) were taxed at 1/4000 of the guideline value, while larger plots (9×12 sqm to 15×24 sqm) faced a rate of 1/2000. This change came after many reported that charges were 3-16 times higher than anticipated, with any excess tax paid being adjusted against the following year’s dues.
A senior BDA official remarked, “For areas up to 8 sqm, only a single small slab is applied. If the area exceeds that, the next slab is charged. Calculations are not done manually. Some corner sites have varying measurements, but our software automatically assigns the correct slab. This is part of ongoing reforms. We ensure that all measurements inputted adjust the rates accordingly. While some may request lower rates for smaller areas, charges are strictly in line with the established rules. We are simply adhering to the regulations.”
