Property tax is a type of direct tax levied by the respective state government on all real estate properties including residential houses, commercial premises, vacant land and rented out properties. The concerned municipal authority of your city/town is responsible for the collection of the annual property tax. In the following sections, various key aspects of property tax in Gurugram will be explained in detail.
Property Tax Calculations (Gurugram)
Owners of real estate properties in Gurugram are liable to pay property tax to Municipal Corporation of Gurugram (MCG) every year. MCG follows a simple system of property tax calculation based on the area and the usage (residential/non-commercial or commercial) of the property. As per the MCG guidelines, the following rates are applicable on residential properties:
- Residential Property (House)
|Area (Residential Houses)||Property Tax (Per Square Yard per year)|
|Up to 300 square yards||Re. 1|
|301 to 500 square yards||Rs. 4|
|501 to 1000 square yards||Rs. 6|
|1001 square yards to 2 acres||Rs. 7|
|More than 2 acres||Rs. 10|
Note: The above rates are applicable for houses located on the ground floor. If the floors of the building are owned by separate owners then the same rate as above will be applicable for all the floors. However, if the entire building is owned by a single person then a floorwise rebate will be applicable. A 40% rebate on the first floor and a 50% rebate on the second floor shall be provided.
|Area (Flats)||Property Tax Per Square Feet per year|
|Flat with carpet area upto 2000 square feet||Re. 1|
|Carpet area from 2001 to 5000 square feet||Rs. 1.20|
|Carpet area above 5000 square feet||Rs. 1.50|
- Vacant Land (Residential)
|Area (Vacant Land)||Property Tax (Per Square Yard per year)|
|Upto 100 square yards||Nil|
|101-500 square yards||Rs. 0.5|
|More than 500 square yards||Re. 1|
Property Tax on Commercial Properties
|Area (Shop-Ground Floor)||Property Tax (Per Square Yard per year)|
|Upto 50 square yards||Rs. 24|
|From 51 to 100 square yards||Rs. 36|
|From 101 to 500 square yards||Rs. 48|
|From 501 to 1000 square yards||Rs. 60|
|More than 1000 square yards||Will be treated as commercial space|
- The rates above mentioned are applicable only for the shops located on the ground floor. In the case of a multiple story building owned by a single entity, a property tax rebate of 40% for the first floor and 50% rebate on the second floor in reference to the ground floor will be applicable.
- Also, if the shop or a part of it is rented/leased out, then the property tax applicable will be 1.25 times of the above rates for the rented out area.
- Commercial and Institutional Spaces
|Area (Commercial Spaces)||Property Tax Per Square Feet per year|
|Upto 1000 square feet||Rs. 12|
|More than 1000 square feet||Rs. 15|
|Area (Industrial)||Property Tax Per Square Yard per year|
|Upto 2500 square yards||Rs. 5|
|From 2501 square yards to 2 acres||Rs. 6|
|From 2 acres to 50 acres||Rs. 6 till 2 acres + Rs. 2 per square yard for the area above that|
|More than 50 Acres||Rs. 6 till 2 acres + Rs. 2 per square yard for the area above 2 acres but below 50 acres + Re.1 per square yard for the area above 50 acres|
|Area (Institutional-Commercial)||Property Tax Per Square Yard per year|
|Upto 2500 square yards||Rs. 12|
|From 2501 to 5000 square yards||Rs. 18|
|More than 5000 square yards||Rs. 24|
Complete (100%) rebate on the property tax shall be provided by the MCG to the following types of properties:
|Sr. No||Rebate Provided On Following Properties|
|5||Central and State Government Educational Institutes|
|7||Defence Paramilitary forces personnel (self-occupied property)|
|8||Ex-Service personnel and family (self-occupied property)|
|9||Paramilitary force personnel and family (self-occupied property)|
|10||Families of deceased soldiers/ex-servicemen (self-occupied property)|
|11||Self-Occupied Residential houses occupied by freedom fighters|
|12||War Widow (self-occupied property)|
|13||Horticulture / Agriculture (upto 1 acre)|
|14||State Government Buildings|
|15||Lal Dora properties (w.e.f. April 1, 2010)|
|16||Flats up to 2000 Sq. Ft.|
Note: A rebate of 10% shall be applicable in case the property holder makes the payment of due property tax before 31st July of the assessment year.
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Property Tax Online Payment
In order to make the property tax payment a simpler process, the MCG has made it available online. You can pay your property tax online at MCG’s website by following these steps:
- Go to the MCG’s website.
- Now click on ‘To Search and Pay Property Tax Online’ option.
- Now you need to enter your Property Id number. It is usually mentioned on the property tax receipt of last year. In case you don’t have property Id number then you can enter your name and address and other contact details to know the due payment of property tax.
- You can pay the property tax online through the net banking or debit/credit card. The MCG also provides a self-assessment property tax form, in which you can follow the guidelines mentioned for each type of property and ascertain the amount that you need to pay.
- In case you are not comfortable paying your property tax online, you can pay it at any of the MCG’s citizen facilitation centre.
- If you have not paid your due property tax, then you are liable to pay penalty equal to the amount of tax evaded. This is in addition to the due amount of Gurgaon property tax.
- In the case of late payment, interest at the rate of 1.5% per month will be charged on the due amount. Interest shall also be charged in case of detected wrong declaration in addition to the penalty.