• Property tax unpaid for last 12 years

Hi,
I bought a flat in 2016, property tax has been unpaid for the last 12years and individual property tax bill does not come through the entire property gets only 1 property tax bill which is including the commercial property existing in the building. I moved into the property last year and since then the residents are harassing me for money demanding that I come up with 50,000/- to pay for property tax.
I feel it is unfair as I did question the agent who sold me the flat, he had taken 50,000 from me to get NOC from the builder as there is no society in the apartments.
I did visit the local NMMC office for clarification and they told me that the outstanding bill of the property needs to be paid off before any action can be taken.
Need to proceed in a legal way would like to know my options.
Asked 7 years ago in Property Law
Religion: Hindu

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10 Answers

there must be indemnity clause in your sale deed wherein seller agrees to indemnify against all claims made

2) issue legal notice to seller to pay the outstanding property tax bill of Rs 50,000

3)if he refuses to pay sue the seller to recover Rs 50,000 with interest

Ajay Sethi
Advocate, Mumbai
97333 Answers
7865 Consultations

-Recover the unpaid dues towards property taxes from the seller.

-Send him a legal notice fr recover.

- Institute a money suit for recovering this amount, if he fails to comply with the legal notice.

Vibhanshu Srivastava
Advocate, Lucknow
9680 Answers
312 Consultations

You have to claim the outstanding property tax from seller who in turn would claim from the earlier owners

Ajay Sethi
Advocate, Mumbai
97333 Answers
7865 Consultations

Before buying this property itself, you ought have had inquired about all the encumbrances/charges on the property. Things like this could have easily surfaced in the property due diligence, which you failed to get done before buying the property.

Anyways, since this is a charge which was incurred at a time when you had not bought this property, you're not liable to clear it. Ask the person who's responsible to pay the property tax to get in touch with the previous occupants/owners of this flat, and recover this amount from them .

Vibhanshu Srivastava
Advocate, Lucknow
9680 Answers
312 Consultations

Please see in detail the indemnity clause present in your agreement.

Immediately send a legal notice for clearing the outstanding dues of Rs. 50000/-

Being the purchaser of the land it is not your duty to pay the tax which is not due upon you, so you do not have to worry about the same. However, purchase of land in governed by the principle of 'buyer beware' and hence send them a legal notice to clear the dues so that you may overcome your liability.

Regards

Anilesh Tewari
Advocate, New Delhi
18090 Answers
377 Consultations

If he still refuses to pay you can bring in a suit praying that the court direct the seller to repay all the pending dues on the property.

Regards

Anilesh Tewari
Advocate, New Delhi
18090 Answers
377 Consultations

Sir, you can file a recovery suit for the amount that was pending on the previous owners..

Hemant Chaudhary
Advocate, Gurgaon
4631 Answers
67 Consultations

Receipts for property tax bills ensure that taxes for the property are paid up-to-date to the government/municipality. So it is your duty ensure the same before buying a property. It is therefore important for the buyer to make enquiries with the government/municipal authorities to ensure that all the dues are cleared by the seller. The buyer should ask the seller for the latest original tax paid receipts and bills and check the details of the owner’s name, the tax payer’s name, and the date of payment on the receipt. If the owner does not have the tax receipt, the buyer can contact the municipal body along with the survey number of the property to confirm the ownership of the land. Nevertheless, the buyer should also ensure that other bills such as the water bill, electricity bill etc. are paid up-to-date.

By in practical way, now the person occupying the apartment has bound pay the arrears. And you can realize the same from prior owners. For that purpose you have to send a legal notice and after that may file a suit for recovery . It is the best solution in front of you. Other wise municipal authority can start RR proceedings and restrict the property for further sale. So find and fix the tax debts of the prior owners .

Ajay N S
Advocate, Ernakulam
4096 Answers
113 Consultations

If you have documentary evidence for shifting to the property as late as you claim, then you may proceed legally against the seller for having not paid the property tax in the past.

For the present you cannot remain defiant to the tax notice if received from the civic body.

T Kalaiselvan
Advocate, Vellore
87534 Answers
2349 Consultations

You cannot escape the liability of paying the tax by putting blame on the previous owner.

You have to pay it and recover from your vendor.

T Kalaiselvan
Advocate, Vellore
87534 Answers
2349 Consultations

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