In response to mounting pressure from property tax evaders and defaulters, the state government of Bengaluru has introduced a one-time settlement scheme. This initiative exempts interest on unpaid or reassessed taxes and allows self-occupied non-RCC residential properties under 1,000 sqft to pay only 25% of the evaded tax as a penalty. The prior rules implemented in 2020 required property owners to pay the evaded tax, a penalty of at least twice the evaded tax, and interest on the difference between the tax paid and payable. This led to notices being issued and commercial establishments being sealed. The ‘one-time settlement’ now provides relief for property owners, with penalties capped at a maximum of five years for residential and mixed-use properties…

To read more, click on the link above.