Major MCD Announcement in Delhi: Pay Only the Principal Property Tax; Interest and Penalties Waived

The MCD has made a significant announcement regarding property tax. Property owners can obtain relief from outstanding dues by paying the principal property tax amount for the current financial year and the preceding seven financial years by December 31, 2026.

The MCD has launched the property tax settlement scheme ‘Suniyo 2.0’, allowing property owners to clear old dues by paying the principal tax for the current financial year and the previous seven financial years. Furthermore, any interest and penalties accrued on the outstanding amount will be waived. The deadline to avail the benefits of this scheme is December 31, 2026, after which the Corporation will initiate action against defaulters with outstanding dues.

According to Mayor Pravesh Wahi, under the scheme, property owners are required to pay the principal property tax for the financial year 2026-27 as well as the seven preceding financial years (from 2019-20 to 2025-26). Essentially, this provides a pathway to settle old dues based on the payment of the principal tax for a total of seven years. No interest or penalty will be charged on this payment. Upon doing so, eligible property owners will be granted relief from dues pertaining to previous years.

Facility for Those with Outstanding Dues of ₹5 Lakh or More

The MCD has also made provisions for taxpayers whose total property tax liability amounts to ₹5 lakh or more. Such individuals can pay the outstanding amount in equal installments, subject to the scheme’s terms and conditions. This alleviates the pressure on property owners with substantial liabilities to pay the entire amount in a lump sum.

Opportunity to Correct Records in Case of Incorrect Information

The scheme also offers an opportunity to rectify errors in property tax-related details. If a taxpayer has previously paid property tax based on incorrect information, they will be able to amend their records. In other words, the scheme offers benefits that allow taxpayers not only to settle outstanding dues but also to rectify their tax records.

Relief for cases pending in court

Property owners with property tax disputes currently pending in court can also avail themselves of the benefits of ‘Suniyo 2.0’. To do so, they must submit an affidavit and withdraw the relevant pending lawsuit. This initiative will bring significant relief to taxpayers whose long-standing property tax disputes are currently tied up in legal proceedings.

Steps required to avail the scheme’s benefits

To benefit from the scheme, taxpayers must file their property tax returns online via the MCD’s property tax portal. Subsequently, they are required to pay the stipulated principal tax amount. Satya Sharma, Chairperson of the Corporation’s Standing Committee, stated that the scheme aims to settle old property tax cases while providing taxpayers with an opportunity to regularize their tax accounts. According to the Corporation, this will also help simplify the tax system and boost revenue.

To ensure information about the scheme reaches the maximum number of taxpayers, the MCD is organizing awareness campaigns and taxpayer facilitation camps through its zonal offices. The Corporation has also issued a helpline number, 7065064988, for assistance.