MANAGEMENT

Detailed explanation-1: -It is an annual charge levied by the Government of India on property owners. This tax is collected by the local government or the Municipal Corporation, whoever is authorised to do so in a given state. Here, the term ‘property’ refers to land and improvements made to the same.

Detailed explanation-2: -By definition, land tax, also referred to as property tax, is a fee that is levied on the purchase of a property that includes all manmade immovable developments such as buildings, industries and godowns, among others.

Detailed explanation-3: -In simple terms, it is a tax paid by the landowners to the local municipal body or the government. Property tax applies to all types of tangible properties of an individual owner, which includes residential property, attached lands, office spaces, or any other property rented to third parties.

Detailed explanation-4: -The formula used for calculating property tax is given below: Property tax = base value × built-up area × Age factor × type of building × category of use × floor factor. Property tax in India depends on the location of a property in question, with taxes varying from state to state.