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Indian Hotels Company Ltd (IHCL), which owns the Taj brand, has received an additional penalty claim of INR 5.51 crore from the Brihanmumbai Municipal Corporation (BMC) over outstanding property taxes for Taj Lands End in Mumbai. The latest claim has taken the total penalty demanded by the civic body to more than INR 103.08 crore. IHCL has disputed the penalty, stating that there have been no violations and that its property tax payments were made in accordance with court orders. The latest claim is reflected in the property tax bill for 2026-27.
Indian Hotels Company Ltd (IHCL) has received an additional penalty claim of INR 5,51,35,972 from the Brihanmumbai Municipal Corporation (BMC) in connection with outstanding property taxes for its Taj Lands End property in Mumbai.
The additional claim is reflected in the property's property tax bill for 2026-27. Following the latest demand, the total penalty claimed by BMC on the outstanding property taxes has increased to INR 103,08,31,312, or more than INR 103.08 crore.
IHCL disclosed the latest development in a regulatory filing. The company said the new claim follows an earlier disclosure made in February regarding penalties imposed on outstanding property taxes for Taj Lands End.
The matter dates back to an earlier BMC demand in 2025, when the civic body had raised a penalty claim of INR 93,27,92,620 on the property. IHCL had disputed that claim, stating that its property tax payments had been made in accordance with orders of the Supreme Court and the High Court. The company had also said that the matter would not affect its operations or other activities.
A further claim of INR 4,29,02,720 was disclosed in February, taking the total penalty at that stage to INR 97,56,95,340. IHCL had again maintained that the claim was disputed on merit and linked its position to compliance with judicial orders.
With the latest INR 5.51 crore addition, the cumulative penalty claim has now crossed INR 103 crore. IHCL has maintained that there have been no violations in relation to the property tax matter and that the bills raised by BMC are being disputed by the company.
The issue is part of a wider property tax recovery exercise by BMC. The civic body has previously identified Taj Lands End among major property tax defaulters in Mumbai, alongside several other large property owners and institutions. A report last year cited BMC data showing that 481 major defaulters collectively owed around INR 14,320 crore in unpaid property taxes.
For IHCL, the latest disclosure does not indicate any change in the company's operations at Taj Lands End. The company's earlier regulatory disclosures had stated that the financial impact, if any, would be limited to the amount of the penalty disclosed and that there would be no impact on its operations or other activities.
Source PTI