General Property Tax Rate Structure

In most Indian municipalities and industrial zones, property tax rates are based on the annual rental value (ARV) or unit area system, depending on the state and local governing body. For industrial properties, the rate is generally higher than residential or agricultural land.

Typical Tax Rate Range for Industrial Properties

• Urban Municipal Zones: Between 0.5% to 2.0% of the assessed property value or annual rental value
  
• Panchayat or Semi-Urban Areas: Flat or slab-based rates, usually more affordable
  
• Industrial Estates/SEZs: May offer discounted or exempted rates under certain government schemes

Example (Indicative Only)

For an industrial plot valued at three crore rupees in a municipal corporation area:

• Tax rate: 1.5% (example)
  
• Annual property tax: Around four lakh fifty thousand rupees