Calculate Chennai Property Tax & Online Payment
Owning a building, flat, shop, land, or any such properties in India comes with a specific tax. Chennai is no exception. If you have been residing in Tamil Nadu for some time now, you must be aware of the particulars concerning the payment of property tax in Chennai. However, if you have recently moved in and are grappling for the details, here is a brief guide.
Let’s begin!
What is the Chennai Corporation Property Tax?
The civic body responsible for collecting property tax in Chennai is the Greater Chennai Corporation (GCC), the oldest municipality in the country, established on 29th September 1688.
As a taxpayer, you need to pay this tax on a half-yearly basis. This is because the GCC computes the total revenue to be levied for a full financial year and then divides it into 2 parts for each half-yearly cycle.
Now, you might be wondering if you are paying the correct amount of tax. For that, we provide you the method by which this tax is assessed in Chennai.
Read more about Property Insurance
How to Calculate Chennai Corporation Property Tax?
The Chennai Corporation assesses property tax for every holding based on certain factors. These are plinth areas or the total floor area, including external and internal walls, and the standard rental value in the area or base street rate per sq. ft.
Now, the total annual rental value (ARV) is calculated in the following manner.
Step 1: Plinth area x Base street rate per sq. ft. = Monthly rental value
Step 2: Monthly rental value x 12 months = Annual rental value (ARV)
Step 3: Total ARV – 10% of ARV for land value = ARV for building only
Step 4: Discounts depending on the nature of occupancy (rented or owned), usage (residential or commercial), and age of property are applied on the ARV for the building to arrive at its depreciated value.
Therefore, Depreciated building value = ARV for building - Total discount
Step 5: Depreciated building value + Land value (10% of total ARV) = ARV for land and building
Does this calculation procedure appear too complicated?
Worry not! This detailed procedure was to help you understand how you can arrive at the annual value. However, there is an easier process to calculate property tax in Chennai for buildings.
Consider a common factor 10.92. Now, use the following formula to calculate the annual rental value (ARV).
ARV for building = Monthly rental value x 10.92
On the other hand, the annual value for land does not include any depreciation. Therefore, calculate the annual value for land as follows.
ARV for land = Monthly rental value x 12
Now, the half-yearly property tax is calculated as a specific percentage of this annual value. You can refer to the following table to understand the different percentages for Chennai property tax calculation upon different amounts.
| Annual Rental Value (ARV) | Half-yearly Property Tax Percentage of ARV (General Tax) | Half-yearly Property Tax Percentage of ARV (Education Tax) |
| Re.1 – Rs.500 | 3.75% | 2.50% |
| Rs.501 – Rs.1000 | 6.75% | 2.50% |
| Rs.1001 – Rs.5000 | 7.75% | 2.50% |
| Above Rs.5000 | 9% | 2.50% |
In addition to the taxes mentioned above, you will also need to pay a library cess, which is 10% of the total general tax paid.
Want to know about an even easier way?
You can use the Chennai Corporation property tax calculator available on the GCC’s official website to know your total tax amount in seconds. Once you are aware of your payable amount, it is time to understand the payment process.
Chennai Corporation Property Tax – Payment Method
Here, we present a detailed step-by-step guide to Chennai Corporation property tax payment both online and offline. Have a look!
Chennai Corporation property tax online payment process
Following are the steps in which you can pay the Chennai Corporation property tax online.
Step 1: Visit the GCC’s official website to initiate the Chennai Corporation tax online payment.
Step 2: Click on the “Online Civic Services” on the right side of the screen. Now select “Online Tax Payment” from the menu below it.
Step 3: Click on “Online Payment” from the various tabs under “Online Tax Payment.”
Step 4: On the next page, enter all property details like zone number, ward number, bill number, and sub number. If you do not know these details, you can find them on your previous Chennai property tax receipt. Hit “Submit.”
Step 5: You will be redirected to a new page that displays your total payable property tax in Chennai.
Step 6: Choose the assessment period and click on the “Pay Online” option.
Step 7: Proceed to make the payment after choosing your preferred payment mode and click on “Submit.”
Upon successful payment, you will receive a confirmation message informing you of the same.
Offline payment process
If you lack the means to complete the Chennai Corporation property tax payment online, you can send the amount via a demand draft or cheque to the Revenue Officer. This can reach the Corporation of Chennai through any of the following agents.
- Authorised banks
- Tax collectors
- Tamil Nadu Arasu Cable Television Corporation (TACTC)
- E-Seva centres established by the Tamil Nadu government
Opt for any of the mentioned ways to pay your Chennai property tax before the prescribed due date to avoid hefty penalties.
What is the Last Date for Chennai Corporation Tax Payment?
The respective Chennai property tax due date for the 2 sets of half-yearly property tax payments are as follows:
- 31st September for the first cycle
- 31st March for the second cycle
If you fail to pay your Chennai property tax within the last date, you will have to pay a penalty of 1% per month on your outstanding amount. So to avoid this hassle, make sure you do not skip the last date.
The Process to Get the Chennai Corporation Property Tax Receipt
Once you have successfully paid the Chennai property tax online, make sure to get the receipt in the following process.
Step 1: On the GCC portal, click on “Online Payment Receipt” under “Online Tax Payment.”
Step 2: Enter the required information like zone number, division code, bill number, and sub number, and click on “Submit.”
You can then have your receipt for paid property tax in Chennai. This concludes the property tax in Chennai’s online payment process.
Ensure you always keep the Chennai Corporation property tax online payment receipt handy for later use.
Clearing all property tax payments for your building or land will not only save you from future legal complications but can also act as a boon while selling/transferring it to another party. Hope our guide on this topic has eased your way to complete such payments.
FAQs About Property Tax in Chennai
Which are the 2 cycles of Chennai property tax in a financial year?
The 2 cycles for which half-yearly property tax in Chennai is calculated in a financial year are April to September of the current year, and October to March of the following year.
When can I claim vacancy remission under property tax in Chennai?
If any property owned or rented by you remains unoccupied for more than 30 days in a financial year, you can claim vacancy remission under Section 105 of the Chennai City Municipal Corporation Act, 1919. Note that this remission will not exceed the property tax amount to be paid.
What are the concessions I can avail of on the monthly and annual rental values?
Here is a list of discount rates offered on monthly rental value depending on different property conditions.
- Semi-permanent buildings without terrace roofing: 20%
- Owner-occupied residential building: 25%
- Owner-occupied commercial property: 10%
Additionally, if your building is aged over 4 years, you can avail of 1% depreciation for each year up to a maximum of 25%. For example, if your building is 10 years old, you can enjoy 10% depreciation on its annual rental value.