In what can be viewed as a political move before the civic body elections, the Municipal Corporation of Delhi (MCD) has planned to increase property tax rebates given to ex-servicemen from 20% to 30%. The rebates are likely to encourage more property owners to pay taxes on time.
The proposal will be sent to the Delhi government for approval as the Delhi Municipal Act 1957, which governs the civic body, does not have a clause allowing rebates, say senior MCD officials.
"The present rebates are not validated by the DMC Act 1957, but they are given. With the new proposal, the MCD has decided that there is a need to take the government's approval and incorporate the rebates in the Act," said another MCD official.
According to the proposal, ex-servicemen would be entitled to more rebate. And, if possible, the rebates would be extended to senior citizens. The proposal will come up for approval at the MCD's Standing Committee meeting in the next week.
With the municipal elections just four months away, the MCD has been giving a lot of rebates in terms of property tax. A special settlement scheme has been launched, under which 100% rebate on interest on arrears are being offered to property owners who pay taxes before December 31.