Senior citizens, women, the differently abled and ex-servicemen will get a 30% rebate in property tax on self-use property of 100 square metres located in Delhi, as per the MCD’s new tax structure that came into force on July 16. Apart from this, to promote digital payments, an incentive at the rate of 2% on property tax not exceeding Rs 10,000 and limited to Rs 200 will be given, said a senior MCD official.
The MCD has revised its tax structure to bring parity between rates following unification of the three civic bodies. The official said instructions have been issued to all regional property tax officers to prepare an online database of all properties which come under the purview of paying tax so that the revenue of the corporation can be increased.
Properties are divided into eight categories for tax collection in the capital — A, B, C, D, E, F, G and H — depending on their location. Upscale colonies like Golf Links and Vasant Vihar fall in categories A and B and localities such as Geeta Colony, Anand Parbat and Sheikh Sarai fall in the E, F, G and H categories. While there are no changes in the tax rates in any residential category, imposition of 1% education cess will lead to an increase in the payable amount for properties in North and East Delhi.
The civic agency will collect 12% of unit area rate for residential colonies of A and B category; 11% for residential colonies of C, D, E categories; and 7% for residential colonies of E, F, G categories. For non-residential properties up to 1,500 sq ft, property tax rate has been fixed at 20% for categories A, B, C, D, E and 15% for E, F, G. Non-residential properties above 1,500 square feet have been prescribed a property tax at a uniform rate of 20%. Property tax has been fixed at a uniform rate of 15% on industrial properties.
Property tax will be charged at the rate of 15% for residential buildings and 20% for non-residential buildings from constitutional bodies, tribunals, government departments etc. It will be payable at the rate of 20% for covered land for airports and attached properties and 15% on open spaces such as runways, taxiways, aprons, airport parking lots and 10% on other land. Property tax will be payable at the rate of 20% uniformly on residential and non-residential farmhouses. In addition to the above rates of property tax, an education cess of 1% on annual property tax will also be payable.
The MCD will give 10% rebate in property tax to those group housing societies where 90% residents will pay up. Besides this, an additional 5 per cent rebate will be available if the colony implements 100 per cent waste segregation at source, composting of wet waste in the colony, recycling of recyclable dry waste and handing over remaining dry waste to the MCD or its authorised agencies.