Mangaluru: The Mangaluru City Corporation (MCC) has recorded its highest-ever property tax collection under the Self-Assessment Scheme (SAS), with revenue touching Rs 149.68 crore for the financial year 2025–26, significantly exceeding the projected demand of Rs 112 crore.
Announcing the figures, MCC Commissioner Ravichandra Naik said the steady rise in property tax collection reflects improved compliance and enhanced monitoring mechanisms adopted by the civic body.
Consistent growth in tax collection
The latest figures mark a substantial increase compared to previous years. The MCC had collected Rs 137 crore in 2024–25 and Rs 117 crore in 2023–24, indicating a consistent upward trend in revenue generation.
Officials attribute this growth to improved assessment practices, stricter enforcement, and increased awareness among property owners about timely tax payments.
The enhanced revenue is expected to support infrastructure development, civic amenities and public services across the city.
Property base across 60 wards
The MCC jurisdiction spans 60 wards, comprising a total of 2,22,256 properties. This includes 1,75,724 residential properties, 44,074 commercial establishments, 1,175 industrial units, and 1,283 other non-residential or non-commercial properties.
The large and diverse property base has played a key role in boosting tax collection, with authorities focusing on bringing more properties under the tax net and ensuring accurate assessments.
Pilot project to improve compliance
In a bid to further strengthen tax collection, the MCC has launched a pilot project involving physical inspection of properties in three wards — Attavar, Hampankatta and Padavu.
Under this initiative, teams led by revenue inspectors are conducting field visits to verify whether property taxes have been paid. In cases of non-payment, property owners are being encouraged to clear dues promptly.
Where taxes have already been paid, officials verify whether the correct amount has been remitted based on parameters such as type of flooring (granite or tiles), roofing structure, and whether the property is self-occupied or rented out.
Identifying unassessed and demolished properties
The field inspections are also helping the civic body identify discrepancies in property records. These include cases where buildings have been demolished but remain listed, as well as newly constructed properties that have not yet been brought under the tax net.
According to the commissioner, the ongoing sample survey in the three wards has already resulted in the collection of Rs 55.33 lakh in additional property tax. This includes arrears as well as revenue from newly assessed properties.
Officials believe that expanding this initiative to other wards could further increase revenue and improve database accuracy.
Incentives and digital initiatives
To encourage timely payments, the MCC is offering a 5 per cent rebate on property tax for payments made on or before April 30. The commissioner urged property owners to avail themselves of this benefit and contribute to the city’s development.
In parallel, the civic body is also taking steps to boost non-tax revenue. The MCC recently auctioned a commercial complex at Lalbagh near its main office, fetching Rs 71.43 lakh. This marks a significant increase compared to Rs 17.96 lakh generated during the last auction held in 2002.
To enhance transparency and prevent misuse in advertisement permissions, the MCC plans to introduce QR codes on all hoardings. Additionally, new software will be developed to enable advertisers to book hoarding spaces and make payments digitally.
Conclusion
The record-breaking property tax collection highlights the MCC’s efforts to strengthen its financial position through better compliance and innovative measures. With ongoing reforms, field inspections and digital initiatives, the civic body aims to further enhance revenue while ensuring efficient delivery of civic services in Mangaluru.