Greater Bengaluru Authority auctions properties to recover ₹2.8 crore tax dues

The Greater Bengaluru Authority (GBA) has successfully auctioned two properties in the eastern part of Bengaluru to recover long-pending property tax arrears amounting to ₹2.83 crore. The properties were located within the KR Puram zone of the Bengaluru East City Corporation and were auctioned as part of the civic body’s crackdown on tax defaulters. The development was reported on March 9, 2026, and highlights the city administration’s increasing efforts to strengthen revenue collection.

The auction process initially targeted six properties in the KR Puram zone that had outstanding property tax dues for more than one year. However, before the auction could take place, four property owners cleared their pending dues during the pre-auction stage. As a result, those properties were removed from the auction list, leaving only two properties to be sold through competitive bidding.

The first property that went under the hammer is located in B Narayanapura, near Hoodi Road, and has an area of approximately 3,600 square feet. This property had accumulated tax arrears amounting to ₹1.08 crore. The second property, with an area of about 1,950 square feet, is also situated within the KR Puram zone but at an unspecified location. The owner of this property had reportedly ignored multiple reminders and notices sent by the authorities through official communications and mobile messages. The outstanding dues on this property stood at ₹1.75 crore.

Officials confirmed that the auction process followed all legal provisions and procedural requirements. The recovery action was conducted under the Greater Bengaluru Governance Act 2025, which mandates the annual payment of property tax for all properties within municipal limits. Additionally, the process complied with the Property Tax Assessment, Collection and Management Rules 2024, which provide mechanisms for recovering unpaid property taxes.

Before taking the step of auctioning the properties, the civic authorities had issued multiple show-cause notices, demand notices, and reminders to the defaulters. These measures were intended to provide adequate opportunities for property owners to settle their dues voluntarily. According to an official statement from the GBA, the auction process was initiated only after all such efforts failed to secure payment.

“Despite providing sufficient opportunities to the defaulters, properties with pending property tax dues were brought under the auction process as per the provisions of the law and rules,” the statement said. Authorities also warned that similar actions would continue against property owners who fail to clear their tax liabilities within the stipulated time.

The auction is part of a broader initiative by the city administration to address property tax evasion across Bengaluru. According to official estimates, nearly 7,000 properties across the city currently have outstanding property tax dues totaling around ₹437 crore. Recovering this revenue is seen as critical for funding urban infrastructure and public services.

In recent months, the civic body has intensified its enforcement efforts. In February 2026, seven properties—including five from the East City Corporation and two from the North City Corporation—were auctioned, helping the authorities recover more than ₹7 crore in unpaid taxes.

Another auction involving 81 properties in the northern part of the city was scheduled for March 6, 2026, but it had to be postponed due to the absence of bidders. The properties included 47 units in Zone-1 with pending dues of ₹1.32 crore and 34 units in Zone-2 with arrears of ₹62.18 lakh. Officials have indicated that the auction will be rescheduled at a later date.

Apart from auctions, the authorities have also recovered additional dues through pre-auction settlements. In one such case, ₹27.6 lakh was collected from 14 defaulters who cleared their pending taxes before their properties could be auctioned.

To further strengthen enforcement, the civic body has also conducted extensive GPS and drone surveys across the city to identify hidden or underreported properties. These surveys have helped detect potential tax evasion amounting to hundreds of crores, and thousands of notices have already been issued to property owners.

The latest auction demonstrates the administration’s commitment to improving revenue collection while maintaining due process. By first issuing notices and allowing time for voluntary settlements before resorting to auctions, the GBA aims to ensure fair enforcement while securing funds needed for Bengaluru’s growing infrastructure demands.