Holding tax in 4 steps

Every year, city corporations assess buildings for holding tax. Most owners pay whatever the notice says. Here's the formula — and how to check their math.

The Net Annual Value pipeline

For a wholly let-out building, the assessment works like this:

1. Gross Annual Rental — all active lease values summed over 12 months.
2. − Maintenance Allowance — two months of rent (≈16.67%) is deducted.
3. − Mortgage Interest — annual interest payable to a scheduled bank or BHBFC, if the property is mortgaged.
4. = Net Annual Value — on this figure the corporation applies its percentage rate (e.g. 8% in Dhaka North).

Why owners overpay

• Corporations sometimes assess on gross rent without the maintenance allowance.
• Mortgage interest is missed if the bank isn't declared.
• Vacancy periods aren't reflected.

What KRTaker does

Every property stores its mortgage and lease data. KR computes the NAV pipeline on demand — property by property — and flags when your assessed notice looks high. You walk into the assessment office with the math on your side.

Compute your holding tax →