Advertisement
The Municipal Corporation of Delhi has decided to keep property tax rates unchanged for FY27 despite a sharp rise in taxpayer numbers and collections. The civic body reported a 19.8% increase in registrations, crossing 12 lakh taxpayers, and collections reached INR 2,270 crore, a 30% jump from the previous year. The budget proposal of INR 16,531 crore focuses on sanitation, waste-processing upgrades, parking development, licence reforms, and road construction. While revenue has improved, the MCD continues to carry liabilities of around INR 15,792 crore, including employee dues and contractor payments.
The Municipal Corporation of Delhi has proposed a budget of INR 16,531 crore for FY27 and has kept property tax rates unchanged for the third consecutive year. This decision follows a period of strong improvement in taxpayer participation and property tax recovery. Registrations increased by nearly 19.8% up to September, pushing the total number of taxpayers past 12 lakh. Tax collections also grew sharply, touching INR 2,270 crore compared to INR 1,589 crore during the same period last year. Advertisement
Officials noted that no new taxes are being introduced. Instead, the civic body plans to depend on administrative and financial reforms to strengthen revenue. As part of its ongoing simplification measures, the MCD will discontinue separate health trade licences for hotels, restaurants and similar activities. These licences will now be included within the property tax structure, following earlier integrations of factory and general trade licences. The move is intended to reduce compliance steps while broadening the tax base.
The budget also proposes several steps to raise revenue, including an updated structure for garbage-collection user charges, development of 20 multi-level parking sites, and higher transfer-fee income if circle rates are revised by the Delhi government. The civic body has identified redevelopment opportunities at a few land parcels, including locations on Minto Road, as part of broader efforts to improve asset utilisation.
A major share of the expenditure is planned for sanitation and environmental management. The MCD aims to procure 60 mechanical road sweepers and 60 battery-operated litter-picking machines for narrow internal roads. Waste-processing capacity is expected to increase through upgrades at the Okhla waste-to-energy plant and development of facilities at Ghazipur, Tehkhand and Bawana. Additional work is planned to improve waste handling at landfill-adjacent processing sites.
The corporation has also outlined plans for stray-dog management. New shelter homes are proposed at Bijwasan and Bela Road, adding to a facility already under development at Dwarka. Road infrastructure remains a priority as well, with the civic body targeting the construction of 600 km of roads by March 2026 through funds received under government schemes.
Despite the strong growth in collections, the MCD continues to face financial pressure. Its total liabilities stand at INR 15,792 crore. This includes unpaid dues under the sixth and seventh pay commissions, pending payments to contractors and ongoing loan obligations. Officials acknowledged that these commitments continue to affect the corporation's financial flexibility.
5th Jun, 2025
25th May, 2023
11th May, 2023
27th Apr, 2023
Advertisement
Facebook
Whatsapp
