Jun 22, 2023Investments

MCD Property Tax in Delhi|Calculation and Payment

by Godrej Properties Limited

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To speed up the collection of unpaid property taxes, the Municipal Corporation of Delhi (MCD) recently adopted a smoother approach. Additionally, it is working on a system to inform residents about various tax-related programs so they can take advantage of them as soon as possible.

The tax must be paid according to each of Delhi's three jurisdictions—North, South, or East— where your property is located. Also, failing to pay taxes can result in fines or even property confiscation.

MCD Property Tax 2023-24

Property taxpayers may find the MCD property tax system to be simpler than before. Taxpayers can pay North Delhi, East Delhi, or South Delhi municipal corporations easily. The corporation is working to provide a helpful tool that can inform citizens about various tax-related initiatives. The Samriddhi plan, which enables residential property owners to pay their five-year dues, has also been planned by the Delhi Municipal Corporation. If a person has paid the principal for the previous six years on commercial real estate, they may be eligible for a waiver.

MCD Property Tax Rate 2023-24

Here's the updated MCD property tax rate for the year 2023-24, categorised by property type and unit area value (Rs per sq meter):

CategoryHouse TaxProperty Tax on Commercial PropertyUnit Area Value (Rs per sq meter)
A12%20%630
B12%20%500
C11%20%400
D11%20%320
E11%20%270
F7%20%230
G7%20%200
H7%20%100

MCD Property Tax in Delhi: How to Calculate

The MCD uses the Unit Area System, recommended by the Government of India, to calculate property tax in Delhi. This system employs the following formula:

Annual tax payable = Base Unit Area Value (Rs/sq ft/annum) × Multiplicative factors × Covered/Land Area × Tax Rate (%)

The Base Unit Area Value is the per sq ft rate specified for your area by the MCD. Multiplicative factors consider property age, type and use, occupancy, location within the block, and structure type.

How can you pay MCD Property tax in Delhi online?

• You must go to the designated website for paying property taxes i.e. mcgonline.nic.in to make an online property tax payment.

• Select "Online Services" in the top right corner. Choose the zone and further information from the drop-down menu. Select "Property Tax" from the menu. Use your cellphone number to log in.

• You will be required to input your property ID, a special identification number that the MCD assigns to every property in Delhi.

• You can also conduct a search for your property ID before paying MCD property tax. You will need the name of your colony and the name of the property owner.

How to Pay Delhi House Tax Offline

If you prefer to pay your MCD Property Tax offline, you can visit any of the 800 ITZ cash counters throughout Delhi. Multiple payment options are available, including Demand Draft, Cheque, Cash, Credit Card, and Debit Card. You will instantly receive a receipt by providing your Tax ID upon payment.

Please ensure you have your House Tax ID when making the payment. If you don't remember it, be sure to generate a new one to avoid any potential issues in the future.

MCD Property Tax in Delhi: Property tax payment through MCD online App

To pay property tax in Delhi through the MCD online app, visit the official Municipal Corporation Delhi website at mcdonline.nic.in. You can download the app, which is available for Android and iOS users. Use the app to pay your property tax in Delhi conveniently.

MCD Property Tax in Delhi: Property tax payment through MCD online App

To pay property tax in Delhi through the MCD online app, visit the official Municipal Corporation Delhi website at mcdonline.nic.in. You can download the app, which is available for Android and iOS users. Use the app to pay your property tax in Delhi conveniently.

Properties exempted from MCD Property tax

The properties listed below are exempt from MCD property tax in Delhi:

  • A concrete building or land used as a place of public worship, a public cemetery, or a crematory
  • Property owned by a war widow, a recipient of the Gallantry Award, or a member of the police or paramilitary who was killed in the line of duty.

The final word

A uniform property tax policy for regions under the control of the Municipal Corporation of Delhi came into effect on 17 July 2022.  The above steps will help you get clarity on municipal corporation property tax.

 

Frequently asked question

1. How do you determine your jurisdiction in Delhi for calculating property taxes?

Ans. You must go to MCDOnline.gov, the Municipal Corporation of Delhi's official website, to determine your jurisdiction. 

2. How to pay Property tax online if you don’t have a property ID?

Ans. Property ID has been replaced by a 15-digit alphanumeric code called Unique Property Identification Code. Payment of property taxes without a UPIC is not allowed.

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