Thu Jun 12 17:35:37 UTC 2025: **News Article:**

**Karnataka High Court Strikes Down BBMP Property Fee Amendments**

**Bengaluru, June 12, 2025:** In a significant blow to the Karnataka state government, the High Court of Karnataka has invalidated amendments made to the Bruhat Bengaluru Mahanagara Palike (BBMP) Act that allowed for the imposition of fees for building licenses, plan sanctions, occupancy certificates, and ground rent based on the “guidance value or market value” of properties.

Justice R. Devdas, in delivering the judgment, stated that linking service fees for building plan sanctions to property market value lacked logical basis. He suggested a uniform fee structure based on plot size and construction extent would be more appropriate. The ruling came in response to petitions filed by Sapthagiri Shelters and other property owners and developers who challenged the amendments made in 2024.

The court had previously struck down similar fees in 2001 levied through bylaws, granting the government the opportunity to amend the relevant laws. However, the reintroduction of fees linked to property value was deemed illegal. The court also invalidated the linkage of fees under Rule 37-A of the Karnataka Planning Authority Rules, 1965, to property value for development and sub-division purposes.

While quashing existing BBMP demands based on the invalidated amendments, the court has granted the government and BBMP the freedom to re-establish standard fees based on empirical data. The court also advised the BBMP to develop a one-time settlement scheme to collect generally acceptable fees from Bengaluru citizens.

The ruling is expected to have a significant impact on property owners and developers in Bengaluru. The BBMP will need to devise a new fee structure that aligns with the court’s guidelines.

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