Property tax in North Delhi is likely to go up from the next financial year, with the local municipality heading towards passing a proposal for a hike in its ongoing budget session.
On Saturday, the North Delhi Municipal Corporation’s Standing Committee agreed with the increase proposed by Commissioner P.K. Gupta in his budget proposals for 2016-2017, presented last month.
The proposal will now be presented in the House, where it is likely to get the approval of the ruling-BJP.
For residents of A and B category colonies, the property tax rate will go up from 12 per cent to 14 per cent. The rate for those in C,D and E category colonies will have to pay 12 per cent instead of the current 11 per cent. There will be no change for residents of F,G and H category colonies, which are mostly home to low-income families, that will continue to pay 7 per cent.
The North Corporation has been plagued by a financial crisis for a year now, being unable to pay salaries for three months as of Saturday.
“We haven’t increased rates for years, despite the increase in our expenses and inflation. This increase is not drastic. It will not hit people that much,” said Standing Committee Chairperson Mohan Bhardwaj.
Meanwhile, Mr. Bhardwaj’s budget proposal put the expenditure for 2016-2017 at Rs.6,757.44 crore and income at Rs.6,757.52 crore.
The North body has been unable to pay salaries for three months as of Saturday
