1. The Owners / Lessors of the Land and Building are primarily liable for the payment of Property taxes. Owners are defined u/s 3(m) of the MMC Act, 1888; Land is defined u/s 3(r) of the Act; Building is defined u/s 3(s) of the Act, Tenement is defined u/s 3(sa) of the Act, Premises are defined u/s 3(gg) of the Act.
In cases where the whereabouts of owner cannot be ascertained, the liability is fastened upon the occupier of the premises.
In cases where Lands and Building owned by Govt / Corporation, is occupied by a Govt Servant or by any other person on behalf of the Govt, for Residential purposes, the liability rests upon the Govt / Corporation; and in other cases where Lands and Building owned by Govt / Corporation, the liability is fastened upon the actual occupier.
Where premises are held as an Attorney or where premises are being developed by a Developer, to whom the right to sell exist or is acquired, the liability is fastened upon said Attorney, Developer, holder.
In cases of Land which are leased for a term exceeding on year, and where tenant or any other person deriving title howsoever from such tenant, has built upon the land, the property tax in respect of such Land and Building shall be leviable primarily upon such tenant or such person who had derived title. (Section 146 of MMC Act)
2. Cases where persons who are primarily liable for payment of property tax cannot be ascertained, the occupier of the property is liable for the payment of property taxes until the occupier furnishes such information about owner of the subject property. (Section 159)
3. After adoption of Levy of property tax based on capital value of the property, the liability of property tax may be fastened upon occupier of the premises. [Section 209(1A)]
4. In premises occupied by Members of Cooperative Housing Societies, the liability may be fastened upon the respective Member of such Cooperative Housing Society. (Section 209A)
5. The owners / occupiers of illegal and unauthorized structure are also liable for payment of property taxes and penalty. (Section 167, 152A)
6. Whenever there is transfer of ownership of any Immovable property, the Notice have to be given to the Municipal Corporation, failing which, the property tax shall continue to be assessed in the name of erstwhile owner. (Sections 149, 150, 151)
7. The properties that have escaped Assessment for any year, for any reason, may be assessed whence it comes to the knowledge of the Municipality. (Section 216)
