Uniform Parking Tax Replaces Zonal Classification in BBMP’s Policy Shift

Bengaluru’s latest move to standardize parking taxes under the Unit Area Value (UAV) system has raised concerns among homeowners and real estate experts. The BBMP now imposes a flat rate of ₹2 per sq ft for residential parking spaces, applied at 20% of the total parking area for 10 months, potentially increasing annual tax burdens.

For non-residential buildings, the rate is higher — 25% of parking space area for the same 10-month period.

Impact on Homeowners: Uniform Tax vs. Zonal Relief

Previously, property owners in different zones paid varied parking taxes — ₹1875 in Zone A vs ₹750 in Zone F for a 150 sq ft space. The new method applies uniformly, meaning some residential owners may pay more, especially in lower tax zones.

While commercial properties like malls may benefit from this change, homeowners could see a spike in their overall property tax bills.

Expert Opinions: Financial Burden & Legal Concerns

Anil Kalgi, Secretary of the Bangalore City Flat Owners’ Association (BCFOA), criticized the BBMP’s move, calling it “unconstitutional”. He noted that when purchasing an apartment, buyers already pay tax on the super built-up area, which includes parking and common spaces.

Kalgi also questioned BBMP’s silence on roadside parking regulation, stating, “Whether roadside parking is illegal or taxable has yet to be addressed.”

What Homeowners Should Do

• Review your property tax documents and reassess calculations under the new UAV system.
• Stay informed about available appeals or rebates.
• Engage with residential welfare associations (RWAs) for collective feedback to BBMP.