BMC Orders Faster Seizure and Auction Action Against Property Tax Defaulters
₹5,426.81 crore collected in FY 2025–26 so far; civic body launches intensive recovery drive
The Brihanmumbai Municipal Corporation (BMC) has directed officials to significantly accelerate seizure and auction proceedings against chronic property tax defaulters, as part of a renewed push to strengthen civic revenue collection in the closing months of the financial year.
The instructions were issued by Dr. Ashwini Joshi, Additional Municipal Commissioner (City), during a comprehensive review meeting of the Assessment and Collection Department held on February 5, 2026, at the civic headquarters.
As per official figures, the department has collected ₹5,426.81 crore in property tax between April 1, 2025 and February 4, 2026, during the current financial year 2025–26. With nearly two months remaining, the municipal administration has rolled out a wide-ranging special recovery campaign aimed at maximising collections and ensuring 100% recovery of both outstanding arrears and current-year dues.
Dr. Joshi appealed to all property owners who have not yet paid their property tax to clear dues at the earliest. She clarified that, except in cases where courts have issued explicit stay orders, officials must initiate strict coercive action against wilful defaulters. These measures include attachment and auction of properties and, in the case of commercial defaulters, disconnection of water supply in accordance with prevailing laws.
The review meeting was attended by Joint Commissioner (Assessment & Collection) Vishwas Shankarwar, Assistant Commissioner Gajanan Bellale, and senior officers from all administrative wards.
Highlighting the seriousness of the drive, Dr. Joshi said that while the BMC has repeatedly urged citizens to pay taxes within stipulated timelines to avoid penalties and legal action, deliberate evasion of property tax will now invite immediate and stringent enforcement. She instructed officials to invoke relevant legal provisions for seizure and distraint without delay, covering open plots, residential buildings, commercial complexes, shops, and industrial units.
She further directed that complete recovery of pending and current property tax must be ensured. Property records relating to area, usage and ownership should be updated urgently, and newly taxable properties must be brought under the tax net. Ward-wise and department-wise classification of major defaulters is to be undertaken, with special drives against properties that have remained unpaid for extended periods.
The civic body will also intensify the issuance of statutory notices, levy penalties and interest, and initiate auction proceedings wherever necessary. All legal processes, Dr. Joshi emphasised, must be clear, transparent and completed within prescribed timelines.
To make compliance easier, the BMC has expanded online payment systems and digital platforms for property tax payment. Regular follow-ups through SMS alerts, notices and personal visits have helped accelerate collections. Public awareness campaigns are also being conducted alongside strict enforcement action.
Dr. Joshi also issued a strong appeal for mandatory completion of KYC (Know Your Customer) by all property taxpayers within Mumbai. KYC—covering property area, usage (residential, commercial or industrial), ownership details, mobile number and email ID—is essential for accurate assessment and effective recovery of property tax.