The unit of BJP which is leading the BMC along with the Shiv Sena, has opposed a proposal wherein the civic body has expressed concerns over revenue losses if it gives respite to residents in property tax bills.

During a PIL hearing last year, the Bombay high court had directed the civic body to check whether carpet area could be used as the basis to calculate property tax, rather than built up area.

After this directive, the BMC had submitted a new formula considering carpet area. To balance the amount, however, the civic body proposed to multiply ready reckoner rates by 1.2 (factor).

Complaining that this factor would mean higher bills for the public, corporators had in August last year demanded that the BMC remove the same, in public interest.

The civic body will table a proposal before members of a standing committee later this week. The officials have said that the removal of the 1.2 factor wasn't feasible as it would lead to a plunge in revenue, estimated at around Rs300 crore each year.

Manoj Kotak, BJP's group leader in the BMC, said that his party had opposed the proposal when it was tabled before members of the standing committee on July 16, 2014.

He added: "We had recorded it, giving lacunas in the way bills will be calculated. I had also insisted the municipal administration to make a presentation regarding how bills will be generated. Yet, the proposal is being tabled without eliminating the drawbacks."

Kotak also said that according to acts pertaining to taxation, it is required that the BMC consider carpet area of a flat only as the multiplication factor.

"Still, the administration has chosen to consider the 1.2 factor while calculating property tax bills. We don't know on what ground the factor is being proposed to be used. Given that people are going to suffer, we are going to oppose the proposal during the meeting scheduled on Wednesday," the Mulund corporator said.