In order to maintain the basic urban civic services property tax is levied by local bodies/local municipal authorities. It is their principal source of revenue. Property owners in Delhi have to pay property tax every year, the authority of which is delegated to municipalities within the state, to the Delhi Municipality body called Municipal Corporation of Delhi (MCD) - divided into North, South and East. Property tax is levied on all buildings including vacant land. MCD uses the Unit Area System model for tax calculations. It is dependent on the built up area, the construction period, the building structure, location and use of property. Computation method remaining the same, the tax rate varies for residential (self occupied or rented), commercial and industrial properties.
Property tax = Annual Value x Rate of tax The annual Value for a building is calculated by multiplying the unit area value per sq metre, covered property area, age factor, use factor, structure factor, occupancy factor and flat factor. Unit area value per sq metre: Value per sq metre of the built up area Covered area: Total floor area in all the floors Age factor: Ranges from 0.5 to 1 based on the property age Use factor: Assigned by MCD based on the property usage Structure factor: Depends on the construction Occupancy factor: Depends on whether self occupied or rented Annual value for vacant land is computed by: Unit area value per sq metre * area of vacant land * Use factor * Occupancy factor * 0.3
You can pay your MCD property tax online using property ID allotted Steps:
You can also check details of property tax arrears and penalties, and also calculate late fees and interest amounts. Complete and thorough knowledge of the MCD property tax nuances helps a great deal, especially when you are considering properties in Delhi. In a bustling residential hub like Gurgaon, it’s always advisable to be well-aware of taxation norms. This will not only make your home-buying experience hassle-free, but also give you confidence to explore premium projects, like Mahindra Luminare. Offering expansive penthouses in Gurgaon along with 3 & 4 BHK apartments, Mahindra Luminare is one project worth checking out for sure. Also Read: Stamp Duty & Registration Charges in India’s Top Real Estate Hotspots References: 1. Mcdpropertytax.in 2. Clear Tax - MCD Property Tax 3. Housing.com - Guide Paying Property Tax Delhi 4. My Loan Care - Property Tax in Gurgaon, MCG 5. Makaan.com - How could you pay property tax online. 6. Image Source - freepik.com/free-photo/house-model-near-blocks-with-property-tax-text-white-background_4831188.htm
