Kerala Taxes and Building Rules

In Kerala there are different kinds of taxes like Land Tax, Plantation Tax, Building
Tax, Luxury tax etc.
Land tax is paid in the Village office, Building Tax is paid at Panchayat, Municipality or
Corporation offices.
When the building construction is completed for the residential purpose, if it is below
3000 sq. ft, the owner should pay a one time tax to the concerned village office. If the
building is above 3000 sq. ft, owner should pay a luxury tax every year. The Rate of tax
is depending upon the grade of the Panchayat, Municipality or Corporation.
Land Tax
Any person posses land will have to pay tax to the government. The land taxes are paid
to
village offices of their area. The land taxes are paid on the basis of area one occupies.
This tax is paid in the village office in the name of deed holder of the property. The tax
receipt is necessary for all transaction related to the property. A buyer should confirm
the
actual seller's name as recorded in the document the transactions conducted without
the
tax receipt can be void.
According to 5811 Legislative Assembly Act 2/98, of 29.07.98, Land Taxes are
amended as follows.
CORPORATION
Till 2 R (4.94 CENT)
Above 2 R
Rs.2 for 1 R (2.47 CENT)
Rs.4 for 1 R
MUNICIPALITY /
TOWNSHIP
Till 6 R
Above 6 R
Rs.1 for 1 R
Rs.2 for 1 R
PANCHAYATH
Till 20 R
Above 20 R
PS.50 for 1 R
Rs.1 for 1 R
New Rate is valid from 01.04.98. For the re-calculation of land tax, tax payers should
apply to the Thahsildar in concerned form.
Plantation Tax
According to the 1987 act of Kerala State Finance Department, Plantation Tax rates are
as follows. (Coconut, Rubber, Coffee, Tea, Cardamom, Pepper are considered as
Plantation Yields)
Total Plantation Area
Below 2 R (excluding, coconut tree
and areca nut tree)
No tax
Less than 4 R Plantation
(including Coconut tree and areca
nut tree)
No tax
Total Plantation 2 R till 4 R
Plantation (Areca nut - tree, and
Coconut tree excluding)
2 R and above, each R. Rs.100/=
Total Plantation Area
4 R till 8 R
Excluding Areca nut tree and Coconut tree till 2
R no tax. Balance for each R Rs. 150/=
Coconut and Aricanut till 4 R no tax. Remaining
each R Rs.150/=
Total Plantation Area
8 R till below 15 R
Excluding, Coconut tree and Areca nut tree up
to 2 R no tax. Each R Rs.200.
Coconut tree, and Areca nut tree up to 4 R no
tax. Remaining each R Rs.25o.
Total Plantation Area
15 R Till below 25 R
Excluding Areca nut tree and Coconut tree up
to 2 R no tax. Balance each R 250/= Aricanut
and Coconut upto 4 R no tax. Balance
Rs.250/=.
Total Plantation Area
25 R Above
Excluding Areca nut tree and Coconut tree till 2
R no tax. Balance each R. Rs.350/=.Areca nut
tree and Coconut tree up to 4 R no tax. Balance
each R. Rs.350/
Building Tax
Any one who possess a building either for residential or business purpose should pay
building tax to the local body like Panchayat, Municipality or Corporation in which the
building is constructed. The tax rates for thatched/concrete/half timbered etc.vary. The
tax rates for residential and business type also vary. Tax rate for flooring with Red
Oxide, Tiles, Marble etc. also vary. Usually the taxes are before the month of March
every year, failing which fine of 24% is charged. Buildings are taxed on the basics of
area
in sq.ft. building having from 3000 sq ft onwards will have to pay luxury tax yearly and
the normal building tax in the local body. Buildings below 3000 sq.ft. area have to pay
one time tax in the Village Office and the normal tax in the local body yearly....
Kerala Building Tax Rates from 30.07.96 are as follows.
Buildings for Residential Purposes
Plinth Area Panchayat
Special Grade
Panchayat/Municipality
Corporation
Rs. P.s RS. P.S RS. P.S
100 SQ.MTR FREE FREE FREE
100 SQ.MTR 150
SQ.MTR
750. 1350 2025
150 200 1500 2700 4050
200 250 3000+ 5400+ 8100+
250 ABOVE Each EXTRA
10 SQ.MTR
Rs.600.00
Each EXTRA 10
SQ.MTR
Rs.1200
Each EXTRA 10
SQ.MTR
Rs.1500
FLAT 25% EXTRA 25% EXTRA 25% EXTRA
Other Buildings
Plint Area
Panchayath
Special Grade
Panchayath/
Municipality
Corporation
50 sq.mtr FREE FREE FREE
50 sq.mtr to 75 750 1500 3000
75 to 100 sq.mt 1125 2250 4500
100- 150 2250 4500 9000
150-200 4500 9000 8000
200 - 200 9000 18000 27000
250 & above 9000+ 18000+ 27000+
sq.mtr.
For extra 10
sq.mtr. - 900/-
For extra 10
sq.mtr.- 1800
For extra 10
sq.mtr.- 2250
Luxury Tax
Apart from the above mentioned building taxes, Houses constructed on 01.04.1999
or after and if the plinth area is 278.7 or more, owners should pay Rs.2000 as luxury
tax.
Luxury tax must pay in advance.
Following Buildings Are Exempted From Tax.
Buildings owned by State or Central Government or any local governing board.
Buildings using for educational, religious, or charitable purposes.
Buildings using as factories or professional training centers.
Buildings adjacent to the house using cow shed and place where keeping
cultivation equipments are not considered as House.
Car porch plinth area is excluded from tax. But the car porch of the buildings that
are not using for residential purposes should pay tax.
Buildings Planned directly by Nirmmithi Kendras or built according to their plans
are getting 12 % tax reduction.
On completion of the building, the owner should contact the Thahasildhar for tax
finalization.
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