MCD unveils house tax waiver

Update: 2025-02-24 20:14 GMT

NEW DELHI: In a significant move ahead of Holi, the AAP-led Municipal Corporation of Delhi (MCD) has announced a substantial house tax relief for Delhi residents. Homeowners who pay their house tax for the financial year 2024-25 on time will have all their previous outstanding dues waived. The new measures, set to be passed in the MCD House on February 25, 2025, promise to provide significant financial relief to residents.

Sanjay Singh, Senior AAP leader and Rajya Sabha MP, shared details of the announcement, emphasizing the government’s commitment to easing the financial burden on residents. “Upon paying the house tax for 2024-25, all previous outstanding dues, which were a financial burden, will be written off,” Singh stated.

The relief includes a full 100 per cent waiver for properties under 100 square yards, which includes residential shops, and a 50 per cent reduction for properties between 100 and 500 square yards. Additionally, 1,300 housing societies, previously ineligible for any exemptions, will now receive a 25 per cent tax waiver. Singh highlighted, “There are over 1,300 apartments in Delhi that do not currently receive any tax exemptions or benefits. A crucial decision has been made regarding them as well, 1,300 housing apartments in Delhi will receive a 25 per cent house tax waiver.” MCD in-charge Durgesh Pathak explained that these reforms aim to eliminate corruption in the house tax collection system. He stated, “If you pay the house tax for 2024-25 on time, all your prior house tax dues will be entirely forgiven.” Pathak also highlighted that for properties under 100 square yards, house tax would be waived entirely in the financial year 2025-2026, while the 50 per cent reduction for properties between 100 and 500 square yards will continue.

Furthermore, Pathak addressed the plight of residential properties housing commercial establishments, which have been burdened with excessive taxes. “These establishments have been burdened with heavy house taxes, causing significant difficulties for a large number of people. Therefore, their house tax will be entirely waived from the 2025-2026 financial year,” he noted.

Mayor Mahesh Khichi stated that the AAP government had honoured its commitments, regularising 8,000 employees in two years, including 4,500 sanitation workers. Leader of the House Mukesh Goel hailed the tax reforms, set for 2025-26, as a key step against corruption and towards transparency.

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