Unable to collect property tax from property owners, the MCD is now planning to privatise the tax collection system. According to sources, a proposal has been prepared by the property tax department of the Municipal Corporation of Delhi (MCD) in which distribution companies might be given the charge of tax collection.
“Through privatisation, the distribution companies while collecting their electricity bills can always collect the property tax too. The proposal is yet to be cleared by the standing committee of the MCD," said a senior MCD official.
"The distribution companies can use their database to add more people in the property tax net. We have spoken power distribution companies and they are keen to assist us," added the official. If a property owner fails to pay property tax, a penalty of 30% will be levied.