What is holding tax?

If you are a property owner in India then you should know about the holding tax. Many people seem confused about

what is holding tax meaning. Here you can explore about holding tax and its implications;

Holding tax is another name of property tax. Holding tax is paid by the property owner annually. If you own any type of real estate property you are liable to pay an amount in the form of  annual tax on your property. The holding tax is paid to the local municipality where the property is located. 

Holding tax or property tax is collected by local municipal bodies under the government of India. This tax is collected for the welfare of society and to keep the cycle of development going. The tax you pay is also consumed by you in other different forms. As for the development such as roads, other comforting facilities are provided from the money you have paid  in the form of tax.

• If a person does not pay the holding tax on time then he/she has to pay the tax with the late penalty.

• The tax amount depends on your property type also where your property is located and in which state.

• If a person does not pay the property tax for a very long time he might receive the legal notice from the income tax department.

Earlier the person needed to visit the district office to make the holding tax payment but after the land and modernization program in India you can pay holding tax/property tax online. Every state has a designated web portal for property tax payment.

How to pay MCD property tax online?