MCD Property Tax - Municipal Corporation of Delhi

The property tax in Delhi is collected by the municipal co-corporation of Delhi (MCD). The funds collected in the form of property tax are a key source of revenue for the MCD and these funds are used for the maintenance and improvement of civic amenities and infrastructure. Any individual or entity owning land or property in Delhi is liable to pay an MCD property tax or house tax.

Delhi is a large city, both in terms of area and population and thus, the municipal corporation has been divided into 3 regions namely: East Delhi Municipal Corporation (EDMC), North Delhi Municipal Corporation (NDMC), and South Delhi Municipal Corporation (SDMC).

Since the MCD is divided into different regions, the property owners need to identify under which region their property is located and must pay the property tax to the respective MCD only. So, the North Delhi property tax is paid to the NDMC, East Delhi property tax to EDMC, and South Delhi property tax to SDMC.

To calculate property tax rates in Delhi, the municipal corporation of Delhi uses the Unit area system to determine the property tax that needs to be paid by the property owner. The formula to calculate property tax in Delhi is:

Unit Area Value System

Property Tax = Annual value * Rate of tax

Here,

Annual value = Unit area value per sq. meter * unit area of property * age factor * use factor * structure factor * occupancy factor

• Unit area value is the assigned value per sq. meter of the built-up area of the property.
• The unit area of the property is the built-up area of the property instead of the carpet area.
• The age factor is the age of the property, where the value of the factor ranges between 0.5 to 1.0.
• Use factor depends on the type of property whether residential or commercial.
• Structure factor: Construction like RCC construction attract higher house tax than other low-value constructions
• Occupancy factor: Property tax on the rented property is higher than that for self-occupied properties.

The rate of tax is determined by the MCD and is available on the official website of the MCD Property tax.

The area of Delhi is divided into eight categories, i.e. from A to H. Given below is the table detailing the tax rate for different divisions.

Due to the ease offered by online facilities, MCD tax payments can now be made online by individuals and other entities. The steps to pay MCD tax online are:

• Go to the official website of MCD, i.e. https://mcdonline.nic.in. Select the ‘Pay Property Tax’ option for the MCD of your region like NDMC, SDMC, EDMC to pay the property tax online. For example, if your property is located in South Delhi, then the South Delhi. Municipal Corporation property tax will have to be paid to SDMC.
• Once the page is loaded, select the option ‘User login’ if you already have a login, else select ‘New user signup’.
• While registering as a new user, you will be redirected to a new page and will have to fill in all the required details and submit the same.
• Now go to the online portal, select your respective MCD and log in with your registered mobile number and pay the property tax online.
• However, remember that if you wish the tax online, the property must be registered with the portal. You can register the property by applying for a unique property identification number on the portal.