October 28, 2025

Mumbai’s BMC has cracked open a surprising treasure chest hidden behind the narrow lanes and corrugated roofs of the city’s slums. This year, the civic body started a special drive and discovered close to 8,000 commercial units operating inside slum areas. Guess what? They have already sent out property tax notices worth about Rs 21 crore to 7,500 such units till October 4. The western suburbs are the biggest money-spinners, bringing in over Rs 12 crore through property tax from these slum commercial units. The island city and eastern suburbs follow next. But here’s a twist — the eastern suburbs have the most such units, especially in L-ward and S-ward, each with more than 1,000 units, yet they pay the least tax. How? It’s because property rates differ across the city, explained city officials. Breaking down the numbers, the K East ward leads with Rs 2.9 crore in tax bills, followed by P North ward at Rs 2.04 crore and K West ward with Rs 2.01 crore. Although the L-ward areas like Kurla, Saki Naka, Chandivali, and parts of Powai saw the most properties identified, closely followed by S ward (Bhandup and Kanjurmarg) and F South ward. The BMC had announced earlier this year it would include these commercial units under the property tax net. Mumbai is home to around 2.5 lakh slums, and about 20% — that’s some 50,000 slums — are doing business as factories, shops, warehouses, hotels, and more. The BMC eyes an impressive Rs 350 crore revenue just by tapping into this hidden commercial potential. Voicing support, Dhaval Shah from the Lokhandwala Oshiwara Citizen's Association said, “these units are enjoying all benefits of the government, but they are not paying taxes applicable to commercial units, therefore these units should be brought under the property tax net.” However, the BMC made it clear — paying property tax does NOT mean the building is legal. If the structure is illegal, paying tax doesn’t legalize it. So this bold move is about fair tax, not legalization. In short, Mumbai’s slums are not just homes but buzzing centers of business, and the BMC’s new tax drive is shining a spotlight and adding revenue to the city’s coffers!

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Tags: Mumbai, Bmc, Property tax, Slums, Commercial units, Revenue,