The property taxes shall be primarily leviable as follows-
- If the land or building is let, then the tax is levied upon the lessor (the person who rents out).
- If the land or building is sub-let, the tax is leviable upon the superior lessor.
- If the land or building is unlet, it is leviable upon the person who has the right to lease it.
- In case of property taxes on a land or building, which is a property of the Union government, but whose ownership has been transferred to a person under the Displaced Persons (Compensation and Rehabilitation) Act, 1954- such a property tax shall be levied upon the transferee.
- If any land has been let for more than one year to a tenant and if that tenant has built upon the land, the property taxes shall be levied upon that tenant. This is applicable in both cases- (i) when the land and building are occupied by the tenant or (ii) if they are occupied by a sub-tenant of that tenant.
- If a building has several joint owners, all are liable to pay property tax.