Municipal Finance

A. Taxation

Municipal bodies are authorized to levy certain taxes (direct/indirect) subject to confirmation by the Government.

B. Non-Taxation

This source includes items like rents (of municipal property), fees (for issue of licenses, permits etc.), fines (realised for offenses against municipal bye-laws, rules, regulations etc.), interest (on investment), profit (from public utility undertakings like water, passenger transport, electricity supply). The Government has notified rates/maximum limits of the following Taxes/Fees which are being imposed by the municipalities in order to raise sources for income.

Name of the Taxes/Fees	Rates
House Tax	7.5% to 12%
Show Tax	Rs.50/- per show
Dog License Fee	Rs.50/- per annum
Building Plan Fee	Rs.2.50 paise for residential/Govt. and Rs.5.00 for commercial per sq.mtr.
Tax on the consumption of Electricity	1 paise per unit
Sale of liquor	Rs.1/- per bottle
Cess on the transfer of immovable property	2% of the amount

In addition to the above, generally, the following taxes/fees are being collected by the municipalities vide resolutions in their respective houses:

Name of the Taxes/Fees	Rates
License for Dangerous and Offensive trades	Rates vary in respective ULBs
Rehari License Fee
Tehbazari Tax
Slaughter House Fee
Cattle Pound Fees
Birth & Death Certificate Fee
Copying Fee
Tree Cutting Fee
Library Membership
Ground Tax
Vehicle License Fee
Death & Birth Reg./ Late Fee
Forest /Garden Income
Animal Tax(Cattle Pound)
Trade License Fee
Tax on advertisement other than advertisement published in the newspaper.

Site Last Updated On : 19th July, 2025 11:34 PM

Urban Development Department