Who pays what in a rental home? Property tax, maintenance and utility bills explained
This explainer outlines the division of financial responsibilities between landlords and tenants in India regarding property taxes, maintenance, and utilities. It clarifies that while laws vary, property tax is typically the owner's burden, while consumption-based utilities fall to the tenant.
Why it matters
It provides practical legal guidance for renters and property owners to navigate tenancy agreements and municipal regulations.
Property tax, utility bills and society maintenance charges can add significantly to the cost of renting a home. But who is responsible for paying these charges — the landlord or the tenant — depends on the nature of the expense and the terms of the tenancy agreement.In India, the division of these expenses is governed by applicable municipal or state laws, the Transfer of Property Act, 1882, and the terms agreed upon by the landlord and tenant in the tenancy agreement.Who pays property tax:Property tax is the owner’s liability. Municipal laws such as the Bombay Municipal Corporation Act and similar state regulations treat the landlord as the one who is responsible for paying the tax.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in