Gurgaon Municipal Corporation

The Millennial City is a city of aspirations and dreams for many and in this journey of bringing the prestigious title to the city, the regular payment of property tax has been a big contributor. With the Online Payment of Property Tax in Gurgaon, the work of the taxpayers has become simplified and the burden on the municipal authorities has reduced. Municipal Corporation Gurgaon collects the property tax amount from the owners of the properties and Gurgaon and channelizes his amount for the maintenance of the city. The current situation of COVID-19 pandemic has however affected the amount collected by the civic authorities and as against the projected figure of Rs 1100 crores as tax amount for FY 21, only Rs 21 crores has been collected so far. To entice the taxpayers to pay the property tax, The Haryana Government had announced a rebate of 25% on the amount deposited by 31st August’20 for FY 2010-11 to 2016-17.

How to Calculate Property tax in Gurugram

With a view to simplify the property tax assessment and payment process, the MCG in 2013 came up with a new system that allows citizens to self-assess their tax liability, based on the rates applicable on their specific house type. In other words, the MCG follows a system for tax calculation that takes into account the size and use of the property.

As Gurgaon and Faridabad have been categorised as Type A1 cities (all other cities in Haryana fall under the A2 category) for property tax purposes, the rates are similar for similar types of property in the two cities.

What is the Property Tax Rate in Gurgaon?

To bring transparency in the system of property tax collection, MCG considers the use and size of the property for determining the tax amount. Property tax rates in Gurgaon are segregated as:

The tax rate on independent homes built on plots:

• Up to 300 sq yard: Rs 1/sq yard
• 301-500 sq yard: Rs 4/sq yard
• 501-100 sq yard: Rs 6/sq yard
• 1001-2 acre: Rs 7/sq yard
• 2 acre and above: Rs 10/sq yard

These rates apply for the properties having the ground floor only. 40% and 50 % rebate is given in case the owner has built the first and second floor.

The tax rate on housing societies in Gurgaon depends on carpet area and is determined as:

• Up to 2000 sq ft: Rs 1 per sq ft
• 2001-5000 sq ft: Rs 1.20 sq ft
• 5000 sq ft and above: Rs 1.50 sq ft

The Tax Rate on Residential Vacant Plots:

• Up to 100 sq yard: Nil
• 101-500 sq yard: Rs 0.50/sq yard
• 501 sq yard and above: Rs 1/sq yard

Property tax on PGs in Gurugram

Before 2018, paying guest (PG) accommodations in Gurugram were treated as residential property and taxed accordingly. However, after the MGC realised it incurred a loss of Rs 20 crores on account of such categorisation that has been in force since 2008 when the municipal body was established, it changed categories of PGs from residential to ‘lodging house’ for the purpose of levying property tax. Owners have to pay tax at Rs 1,000 per bed per year as tax on PG accommodations under the Haryana Municipal Corporation Act.

Property tax rate on shops in Gurugram

Under income tax laws, shops are treated as house property and not commercial property. The rates mentioned below are applicable only on shops located on the ground floor.

A property tax rebate of 40% for the first floor and 50% rebate on the second floor would apply, if the entire building is owned by one person. If the owner has partially leased space in this establishment, he will have to pay 1.25 times of the above mentioned rates for the leased space.

How is Gurgaon Property Tax Online Payment Done?

• Logon to the official website of MCG which is www.mcg.gov.in
• Click on the “Property Tax” option on the left side.
• Download your property bill and click on “Property Tax Bill” option. You can also register your complaint at this step.
• The page that appears on your screen will have the details like property ID, name, Father/Husband Name, Mobile number, locality, ward and address. Fill the details and click on the “Search” tab.
• Cross-check every detail and in case there is no error, proceed to make the payment either through net banking or by punching the details of your debit/credit card.
• A tax receipt of the payment made will be generated which can be used for future reference.

How Can I Pay Property Tax Bill in Offline in Gurgaon?

One can pay property tax offline in Gurgaon by visiting Property Tax Collection Centres, also known as Citizen Facilitation Centres, or any branch of Oriental bank of Commerce in the city.

Municipal Corporation Gurgaon Property Tax can be paid offline as well by visiting the property tax collection centres which are also known as Citizen Felicitation Centres. By not paying the property tax amount in time, an interest of 1.5% is charged every month on the outstanding amount and if someone understates the amount then a fine which is equal to the amount so evaded is imposed by the tax authorities.

To avoid being in any such situation, timely payment of property tax is advisable!