View source for Quit and Ground Rent Tenure

Quit-rent originally implied freedom from liability to military service and was introduced in the year 1718 by the East India Company as a reimbursement towards expenses borne by the Company in fortifying and securing the Town . The tax was imposed on all the inhabitants residing within the town walls and for the lands that were situated in the Fort, Old Town, New Town and in Colaba. The area covered by this tenure, according to Colonel Laughton, was 973 acres and 682 square yards.