Mumbai, July 17, 2026: The BMC has issued a demand notice to the iconic Taj Mahal Palace Hotel, Colaba, asking it to pay Rs 27.12 crore towards road and footpath occupation charges for security installations, barricades and parking spaces around the property.
The dispute pertains to the occupation of 869.59 sq m of road space and 1,136.3 sq m of footpath around the hotel for security installations and parking, put in place after the 26/11 terror attacks, reports say.
BMC Seeks Outstanding Dues
The notice issued by the civic A Ward includes Rs 4.97 crore as road occupation charges and Rs 22.15 crore as footpath occupation charges, as of March 2026. Reportedly, the Taj had sought a 50 per cent concession on road occupation charges and a complete waiver of footpath occupation charges, saying that the occupation was not being used for commercial purposes. However, in 2025, the then Municipal Commissioner cancelled the concessions granted to the Taj and Trident Hotel.
As per reports, Trident Hotel paid the pending dues, while the Taj has not paid the charges despite repeated reminders. Meanwhile, the civic body recovered all dues from the Bombay Stock Exchange for similar occupation.
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Interest Raises Liability
Reportedly, the latest reminder by the BMC to the Taj states that the hotel had earlier been asked to pay Rs 4.03 crore towards road occupation and Rs 18.27 crore towards footpath occupation up to July 2025.
Since the dues remained unpaid, the BMC levied interest, increasing the liability to Rs 4.73 crore for road occupation and Rs 21.32 crore for footpath occupation up to September 2025. It has also sought an additional Rs 1.08 crore for occupation charges from October 2025 to March 2026.
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