The Municipal Corporation of Delhi (MCD) has introduced a new house-tax waiver scheme that will allow residents to settle their 2024-25 dues and have any outstanding previous taxes forgiven. It is designed to bring substantial relief to residents and businesses in the national capital as the initiative will offer homeowners with a valuable opportunity to clear their current house tax obligations while also eliminating any past debts.
The announcement was made by MCD Mayor Mahesh Khichi, Deputy Mayor Ravinder Bhardwaj, Leader of the House Mukesh Goel, and senior AAP leader and Rajya Sabha MP Sanjay Singh.
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Mahesh Khichi said that AAP has consistently worked towards fulfilling its promises and this was another step in the same direction. He added that the tax waiver system would benefit homeowners while increasing transparency in tax collection, reducing the potential for corruption.
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The house-tax waiver scheme has wide-ranging implications for different segments of the population.
> The scheme will provide substantial assistance to homeowners and small businesses. > From the next financial year, properties under 100 square yards, such as residential shops, will be completely exempt from house tax. > This will be a considerable relief for individuals residing in modest-sized homes or operating small businesses within these designated areas. > Houses ranging from 100 to 500 square yards will be granted a 50% discount on house tax, easing the burden of tax payments for homeowners with medium-sized properties. > Additionally, 1,300 housing societies that were previously ineligible for tax exemptions will now qualify for a 25% rebate under this scheme.
Who is eligible?
The upcoming financial year will bring about significant changes in property tax exemptions.
Properties measuring up to 100 square yards will qualify for a full tax exemption, providing relief to individuals with smaller residences or those operating small businesses.
Additionally, houses ranging from 100 to 500 square yards will receive a 50% discount on their house tax, easing the burden of tax payments for medium-sized property owners.
For the first time, housing societies that have never been eligible for exemptions will now benefit from this initiative. Approximately 1,300 housing societies are expected to receive a 25% reduction in taxes.
This implies, homeowners residing in smaller properties, particularly in areas like Laxmi Nagar and Patel Nagar, will experience significant relief from the waiver. For instance, a family residing in a 95-square-yard home in these neighborhoods will be fully exempt from house tax, easing their financial burden.
Similarly, residents living in larger properties such as those in South Extension or Vasant Kunj will also benefit from reduced tax liabilities. Homeowners in 450-square-yard properties in these upscale areas will enjoy a 50% tax reduction, making their payments more manageable.
Small businesses in redevelopment zones like Chandni Chowk and Karol Bagh will see positive impacts, thanks to tax relief offered to commercial properties in these regions.
Additionally, residential complexes in suburbs like Mayur Vihar and Janakpuri, previously without exemptions, will now benefit from a 25% waiver.