MCD Property Tax: How to Pay Property Tax in Delhi?

The Municipal Corporation of Delhi (MCD), also known as the Delhi Nagar Nigam, collects annual property tax from residential, commercial, and industrial property owners in Delhi. It is crucial for property owners to understand the process of MCD property tax payment to avoid penalties and ensure compliance. This tax is imposed on property owners based on the type, location, and usage of their property. Property owners can now conveniently pay their MCD property tax online. This blog provides a comprehensive guide on how to pay property tax in Delhi – both online and offline.

What is MCD Property Tax?

MCD property tax is levied by the Municipal Corporation of Delhi on residential, commercial, and industrial properties. The revenue generated from this tax is used for funding essential civic services like sanitation, road maintenance, waste management, and public infrastructure.

How to Pay MCD Property Tax Online in Delhi?

You can easily pay house tax online in Delhi by following these steps:

Step 1: Go to the official MCD website and click on the ‘Pay Property Tax’ option on the top right-hand side.

Step 2: Enter your registered mobile number and click on the ‘Generate OTP’ option. Submit the OTP to log in. New users must first sign up by clicking on the ‘Sign Up’ option.

Step 3: Enter the details required to finish the user sign-up process.

Step 4: Once logged in, you will be able to see the complete property details on the screen.

Step 5: Proceed further by clicking on the ‘Actions’ option, and then on the ‘Pay Tax’ option.

Step 6: Choose the ‘Financial Year’ for which you want to pay the MCD property tax Delhi and then click on ‘Submit’.

Step 7: Up next, you will see a pop-up asking ‘Is there any Modification/Change in the Property/ Owner Details from the Last Tax Paid’. Click on the ‘Yes, I want to Edit before I Pay’ option if you want to make some changes, else click on the ‘No, I want to Pay’ option.

Step 8: You will be redirected to the tax calculator page, where you will see property details and the rebate percentage. Verify the details, then proceed by clicking the ‘Download PDF’ option and selecting ‘Pay Tax’.

Step 9: Select your payment mode—debit card, credit card, net banking, or UPI—then click on the ‘Pay Now’ option.

Step 10: Once the payment is made, you will see the ‘Success’ status on the screen and a receipt will be generated. Make sure to download it for future reference.

Suggested read: Agra Nagar Nigam House Tax Rules

How to Pay Property Tax in Delhi Offline?

Property owners can visit any of the 800 ITZ cash counters located across Delhi to pay the MCD property tax. This payment can be made either through a credit card, debit card, or demand draft. Once you pay the tax, you will receive the receipt instantly by sharing your tax ID. Property owners can visit the nearest zonal MCD property tax office to pay this tax during weekdays (Monday to Friday) between 9:30 am to 5:30 pm.

How to Pay Property Tax through the MCD Online Mobile App?

MCD online has launched a mobile application called the Unified Payments App to further simplify the property tax payment process.

Step 1: Download the MCD online mobile app from the Google Play Store or Apple App Store. 

Step 2: Login using the registered mobile number and OTP. 

Step 3: Go to the ‘Registered Property Details’ option, click on the ‘Pay Tax’ option for the chosen financial year, and then ‘Submit’.

Step 4: Make the payment using a debit card, credit card, net banking, or UPI. After payment, download the tax receipt by clicking on the ‘Download Receipt’ option.

Alternatively, you can visit the MCD online website and choose the ‘MCD app’ from the scroll-down menu under the online services.

Suggested read: Pay Land Tax Online in Kerala

How to Calculate Property Tax Delhi?

The Municipal Corporation of Delhi uses a Unit Area System (UAS) to calculate the property tax across Delhi. The formula is as follows:

Property Tax = Annual Value x Rate of Tax

Here,

1. Annual Value = Unit Area Value per sq. meter x Unit Area of Property x Age factor x Use factor x Structure factor x Occupancy factor
2. Unit Area of Property: The total built-up area of the property, measured in square meters.
3. Age Factor: Depends on the age of the building; older buildings get lower valuations for tax payments.
4. Use Factor: Depends on the type of property based on use (commercial, industrial, or residential).
5. Structure Factor: Depends on the type of construction (pucca, kutcha, or semi-pucca).
6. Occupancy Factor: Depends on who occupies the property. If it is self-occupied, then the tax will be lower, if it is rented, the tax will be higher. 

Rebates on Property Tax in Delhi (MCD Online)

Property owners who pay their tax in a single lump sum installment during the first quarter of the year are eligible for a 15% rebate on their total tax amount.

The table below highlights the category-wise property tax rebate in Delhi:

FAQs about MCD Property Tax