Patna: Patna’s municipal authorities have announced a major overhaul of property taxes for non-residential properties, with hotels, gyms, private hospitals, banks, and financial institutions now facing double the previous tax rates. The revision, issued under the Bihar Municipal Act, 2007, also increases taxes by 1.5 times for coaching centres, nursing homes, and private educational institutions.
The Patna Municipal Corporation (PMC) said the changes are intended to simplify the tax system, make it more transparent, and generate additional urban revenue. Officials emphasised that the new rates are determined according to the use and activity of properties, ensuring that higher-commercial establishments contribute proportionately.
Under the new system, a tax multiplier of 2 applies to hotels, health clubs, gyms, clubs, marriage halls, private hospitals, banks, insurance companies, and large warehouses. Medium-commercial properties—including showrooms, shopping malls, cinemas, restaurants, and warehouses between one and three thousand square feet—will attract a 1.5 times increase.
Similarly, educational and training institutions such as coaching centres, guidance centres, private schools, colleges, research institutions, and their hostels, as well as nursing homes, clinics, and diagnostic centres, are subject to the 1.5 multiplier. Non-commercial government offices will continue to pay the base rate, while religious and cultural institutions have been granted full exemption.
The PMC stated that the revised structure aims to balance revenue generation with fairness, targeting properties with higher commercial activity while providing relief to institutions serving social and cultural purposes.
