How to calculate property tax in Hyderabad
Property tax is a yearly bill that comes with any flat, house or shop you own in Hyderabad. Most owners pay whatever the demand notice says and never check it. The working is simple enough to do yourself, and it is worth doing once, because an old plinth area or a wrong usage category on the record stays wrong until you ask for it to be corrected.
Who collects it
For years the answer was GHMC, the Greater Hyderabad Municipal Corporation. In February 2026 the state split GHMC into three bodies: GHMC for the central and southern parts of the city, Cyberabad Municipal Corporation for the west, and Malkajgiri Municipal Corporation for the east. So first find out which corporation your property now falls under. The method below is the GHMC method. If you are in Cyberabad or Malkajgiri, confirm on your corporation's portal that the same rates apply to you.
The amount depends on five things:
- where the property is
- whether it is residential or commercial
- its plinth area, which is the total built-up area
- the age of the building
- whether you live in it or have rented it out
The formula for a home
The corporation fixes a monthly rental value per sq ft for each locality and type of building. That is its own notified figure, not the rent you actually receive. From it you work out the annual rental value:
Annual rental value = plinth area x monthly rental value per sq ft x 12
The tax is a percentage of that annual value. The percentage rises in slabs with the monthly rental value: nothing up to ₹50, 17% for ₹51-100, 19% for ₹101-200, 22% for ₹201-300, and 30% above ₹300. A 10% allowance for depreciation is taken off, and an 8% library cess is added.
A flat in a prime zone carries a higher notified rental value per sq ft than one on the outskirts, which is why two flats of the same size can have quite different bills.
A worked example
Take a flat with a plinth area of 1,200 sq ft, and assume the notified rental value for that locality is ₹10 per sq ft a month.
- Annual rental value: 1,200 x ₹10 x 12 = ₹1,44,000
- At the lowest slab rate of 17%: ₹1,44,000 x 17% = ₹24,480
That ₹24,480 is before the depreciation allowance and the library cess, and it uses the lowest rate. Your slab may be higher. Treat the example as a way to see how the numbers move, then run your own figures through the property tax calculator on the corporation's website, which applies the current rates for your locality.
The formula for commercial property
Shops and offices are worked out differently:
Annual tax = 3.5 x plinth area x monthly rental value per sq ft
The notified rental values for commercial use are higher than for homes and vary by circle and by the kind of road the property faces. Look up the figure for your own location instead of borrowing a neighbour's.
Paying online
- Open your corporation's property tax page. For GHMC it is ghmc.gov.in.
- Enter your PTIN, the Property Tax Identification Number printed on any earlier receipt or demand notice.
- Check the dues and the details they are based on: area, usage, owner name.
- Pay by card, net banking or UPI, and save the receipt.
Where owners go wrong
The first mistake is working from old rental values. The corporation revises them, so check the current ones before you conclude that you have been overcharged.
The second is not reporting changes. If you have added a floor or an extension, or turned part of a house into a shop, your tax has changed. It is cheaper to get it reassessed now than to settle arrears later.
The third is paying late. Interest is charged on overdue tax, and it adds up month after month. The demand notice and the portal show the due dates and the current rate.
If you are buying
Ask the seller for the PTIN and the latest paid receipt before you sign anything. Unpaid tax can follow the property to the new owner, so clear it before registration. It also tells you what you will pay every year, which belongs in your budget next to maintenance and the EMI.
If you want help checking the running costs of a flat you are considering, book a call with a relai advisor.
This is general information, not legal or tax advice. Rules and charges change and differ by state, so confirm the details with a qualified professional before you act on them.
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