SDMC stands for the South Delhi Municipal Corporation, which is a government entity that is responsible for the infrastructural development of South Delhi. Therefore, every property owner of the city is mandated to pay the SDMC property tax to contribute to their community’s upliftment.
Property tax is a vital source of revenue for any state government. Property tax is levied on the owners of properties and the fund collected under the same is used for developing various civic amenities such as laying roads; improving sanitation and hygiene in public places; etc. It is administered by the state governments and is entrusted to various municipalities within the state.
Municipal Corporation of Delhi (MCD)
The citizens of Delhi are accountable to pay property tax every year to the Delhi Municipality body, known as the Municipal Corporation of Delhi. It has been reported that many developing countries have failed to fully collect property tax due to inadequate information, unproductive management, and inconvenient payment procedures. To put an end to this, MCD provides transparent, accountable and efficient citizen-centric services to its citizens using the latest Information Technology. The Property tax division of MCD has come up with an innovative, broad-based approach of Public-Private Partnership.
List of Municipal Corporations in Delhi
Here are the three types of municipal corporation in Delhi are as follows:
- East Delhi Municipal Corporation (EDMC)
- South Delhi Municipal Corporation (SDMC)
- North Delhi Municipal Corporation (NDMC)
East Delhi Municipal Corporation (EDMC)
People possessing a property in East Delhi Municipal need to pay property tax by visiting official website. EDMC is divided into two zones which are Shahdara North and South, which is further categorised into six wards and five colonies each.
North Delhi Municipal Corporation (NDMC)
Property owners residing in North Delhi must pay property tax under specified deadlines to the North Delhi Municipal Corporation. Individuals residing in North Delhi in any of the six zones such as City-SP Zone, Civil Lines, Karol Bagh, Narela, Rohini, and Keshav Puram.
South Delhi Municipal Corporation (SDMC)
South Delhi Municipal Corporation is divided into five zones, which are Central, South, West, and Najafgarh. Individuals possessing properties in any of these four zones in South Delhi will have to pay tax to the SDMC. The property owners can pay their property taxes through offline and online mode. Individuals need to visit the official portal to pay property tax online.
Property Tax Computation
Property tax = Annual Value * Rate of tax
The annual value of a property can be calculated by using the formula that is mentioned below. Annual Value = Unit area value per sq metre * covered area of property * Age factor * Use factor * Structure factor * Occupancy factor * Flat factor Unit Area value per sq metre is the value per square metre of the constructed area of the property based on the category it belongs to. The covered area of the property is the total floor area that includes the width of the walls, verandah and courtyard, gangway, garage, common areas, staircase and balcony including any projected area beyond the boundaries of the plot. The age factor ranges between 0.5 to 1 depending on the age of the property. Use factor is assigned by the MCD, based on the usage of the property. Structure factor is determined based on the construction of the building. Occupancy factor is determined based on the person who occupies the property (owner or tenants). The annual value for vacant land is calculated based on the following formula: Annual Value for Vacant Land = Unit area value per sq metre * area of vacant land * Use factor * Occupancy factor * 0.3
How to Pay MCD Property Tax?
Step 1: Visit the official MCD Property tax website
Step 2: Provide your ‘Registered Mobile Number‘ and click on ‘Generate OTP‘
Step 3: Now, enter ‘OTP‘ and click on ‘Login‘
Note: If you are a new user, click on the ‘SignUp / Registration’ option.
Step 4: Next, complete property details will be shown on screen, like UPIC, Property Type, Owner Type, Name, Address, Status and Registration Details.
Step 5: Click on ‘Actions‘ button and click on the ”Pay Tax” option.
Step 6: Choose the ‘Financial Year’ for which property tax is to be paid and click on ‘Submit‘
Step 7: Next, the pop up is shown as ‘Is there any Modification/Change in the Property/Owner Details from Last Tax Paid‘.
Step 8: If you wish to change, then click on ‘Yes, I want to Edit before I Pay‘ or click on ‘No, I want to Pay‘.
Step 9: Now, It redirected to the Tax Calculator page with complete Property details. also, shows the rebate percentage as well.
Step 10: Cross check all the details and click on ‘Download PDF‘ and then select ‘Pay Tax‘ button at the end.
Step 11: Now, Select your preferred payment mode- Credit card, debit card, or net banking and click on ‘Pay now‘
Step 14: Once payment is done, It shows the status as ‘Success‘
Note: Download the Receipt for your future reference.
FAQs
Exemption for MCD Property Tax?
- Vacant land or buildings used as place of worship, public burial, heritage land, or used for charitable purposed by any body or individual.
- Agricultural land or building.
- Land or building vested in corporation.
- Property owned by an ex-servicemen or widow of a person martyred in war. The property should only be used as a self-residence and no portion of it is let out.
- Properties martyred on paramilitary or police duty.
- Property owned by a South MCD employee who is handicapped but fully on duty.
- Any sportsperson who has won awards for any international games.
Rebates on Property Tax in Delhi?
Type | Percentage of Rebate |
DDA/CGHS flats | 10% of the annual value, up to 100 sq meters of covered area |
Group Housing Flats | 20% up to 30th June of the FY |
Senior citizens, Women, Physically challenged individuals, Ex-servicemen | 30% on one property and up to 200 sq meters |
Conditions for availing the rebate
- Rebate is offered for up to a maximum of 200 square metres except for DDA/CGHS flats which have a limit of up to 100 square meters.
- The Occupancy factor should be residential.
- Use factor should be self-occupied.
- In the case of joint owners, concession will be offered based on the property share of the owners who qualify for concession on property tax.