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LG announces major changes in the Property Tax Policy of Municipal Corporation of Delhi.

Date: 
Monday, July 11, 2022

•    LG announces major changes in the Property Tax Policy of Municipal Corporation of Delhi.
•    LG launches SAH-BHAGITA making RWAs partners in waste management ecosystem.   Tax collection efficiency incentives introduced for RWAs.
•    Waste segregation, de-centralized processing, recycle and reuse becomes the axis for additional rebate/concessions in property tax matrix of the corporation.  
The Lt. Governor, Shri V K Saxena today announced major policy changes in the Property Tax structure of the Municipal Corporation of Delhi (MCD) and launched SAH-BHAGITA- a scheme making RWAs partners in optimal tax collection and waste management ecosystem.  While the new uniform policy addresses the long pending rationalization of the property tax structure, it also places waste segregation, de-centralized processing, recycling and reuse as the axis for deciding upon additional rebate/concessions in the property tax matrix.  The policy comes up with a new initiative called SAH-BHAGITA which dovetails property tax collection and solid waste management including development work through community participation.  
SAH-BHAGITA aims at improving efficiency and compliance in tax collection by incentivizing Resident Welfare Associations (RWAs) who, on achieving 90% tax collection from total number of properties in their societies/colonies, can recommend development work to the tune of 10% of the tax collection subject to a ceiling of Rs. 1 lakh in their areas. In addition to this an added incentive of 5% of the tax paid shall be available if the colony concerned implements 100% waste segregation at source, compositing of the wet waste in the colony, re-cycling of the re-cycle able dry waste and hands over the remaining dry waste to the MCD or its authorized agencies.  
The tax policy brings in consistency and uniformity in different approaches hitherto being adopted by the erstwhile three Municipal Corporations. 
The LG has expressed the hope that these long awaited initiatives, will bring about the much desired community partnership and ensure that citizen become stakeholders in the MCD. These policy initiatives will ensure better delivery of services to the residents of Delhi and encourage people’s participation in addressing the problem of solid waste management while also enhancing the revenues of the Municipal Corporation. 

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