The North Delhi Municipal Corporation (NDMC) has proposed revised rates for property tax for the coming financial year (FY) 2018-2019. The move is likely to generate Rs 550 crore in revenue annually. Officials have informed that the last hike in tax rates was implemented in 2004.
The municipal corporation has proposed 15 percent and 20 percent property tax rates for residential and commercial properties, respectively. At present, the tax rates levied on residential properties vary from 7-12 percent. A proposal has been made to reduce the 15 percent rebate provided to owners who pay the tax before June 30 to 10 percent.
The proposed tax rate would eliminate the current tax slabs as per area categories (A-H). If the proposal is approved, a single slab of 15 percent would be charged on residential properties and 20 percent for commercial units.
The corporation has also proposed levying a 15 percent betterment tax on the increase in land values due to development work as well as a professional tax on salaried individuals. The professional tax proposed would be Rs 1,200, Rs 2,400 and Rs 2,500 annually on all professionals earning Rs 2.5 lakh to Rs 5 lakh, Rs 5 lakh to Rs 10 lakh and more than Rs 10 lakh respectively.
Disclaimer: The views expressed above are for informational purposes only based on industry reports and related news stories. 99acres does not guarantee the accuracy, completeness, or reliability of the information and shall not be held responsible for any action taken based on the published information.